World Bank Documentdocuments.worldbank.org/curated/en/484871468772183406/...This report is based on the findings of an appraisal mission which visited Lebanon from November 28 to December

Document of

The World Bank

Report No. 13860-LE

STAFF APPRAISAL REPORT

LEBANESE REPUBLIC

SOLID WASTE/ENVIRONMENTAL MANAGEMENT PROJECT

MAY 5, 1995

Private Sector Development and Infrastructure DivisionCountry Department IIMiddle East and North Africa Region

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CURRENCY EQUIVALENTS(As of January, 1995)

Currency Unit = Lebanese PoundUS$1.0 = LL 1,650

WEIGHTS AND MEASURES

I meter(m) = 3.281 feet (ft)I kilometer (km) = 0.621 miles (mi)1 metric ton (ton) = 2204 lbs.1 hectare (ha) = 10,000 m2

= 2.47 acres

ABBREVIATIONS

CDR = Council for Development and ReconstructionCZM = Coastal Zone ManagementCZMP = Coastal Zone Management PlanEA Environmental AssessmentEU = European UnionEDL = Electricite du LibanERRP = Emergency Reconstruction and Rehabilitation ProjectGDP = Gross Domestic ProductGEF = Global Environmental FundGOL = Government of LebanonLL = Lebanese PoundMETAP = Mediterranean Environmental Technical Assistance ProgramMMRA = Ministry of Municipal and Rural AffairsMOE = Ministry of EnvironmentNERP = National Emergency Reconstruction ProgramNGO = Non-Governmental OrganizationOD = Operational DirectivePCU Project Coordination UnitPMU = Program Management UnitREA = Regional Environmental AssessmentSIU Sectoral Implementation UnitSWM = Solid Waste ManagementTAT = Technical Assistance TeamTCC = Technical Coordination ComrnitteeTOR = Terms of ReferenceUNDP = United Nations Development Programme

FISCAL YEAR

(January 1 to December 31)

LEBANESE REPUBLIC



Table of Contents

LOAN AND PROJECT SUMMARY ..................... i-ii

I. BACKGROUND ................................. 1

A. The Economy ................................. 1B. The Solid Waste Management Sector ................... 2C. Environmental Management ........................ 3D. Rationale for Bank Involvement ...................... 4

II. THE PROJECT .................................. 5

A. Project Objectives .............................. 5B. Project Description .............................. 5C. Detailed Features ............................... 5D. Project Costs and Financing Plan ..................... 10E. Financing Plan ................................ 12F. Procurement .................................. 12G. Disbursement and Special Account .................... 14H. Project Status and Implementation ..................... 15I. Project Supervision .............................. 17J. Private Sector Involvement ......................... 18K. Women in Development ........................... 19L. Poverty Impact ................................ 19

III. PROJECT EXECUTION AND MANAGEMENT .... ......... 19

A. Background .................................. 19B. Organization and Management ....................... 20C. Operation and Maintenance ......................... 20

This report is based on the findings of an appraisal mission which visited Lebanon from November 28 to December 17, 1994. The missioncomprised Mmes/Messrs. Douglas Graham, Senior Financial Analyst/Mission Leader, Hans-Roland Lindgren, Senior Environmental Specialist,Elizabeth Monosowski, Environmental Specialist, Allan Rotman. Solid-waste Specialist, Marie-Ange Le, Operations Assistant, Albert Peltekianand Guy Prenoveau, Consultants. Mrs. Tuyet Chuppe and Mrs. Terri Wells were responsible for coordinating report production. Messrs.Alastair J. McKechnie and Inder K. Sud are the Division Chief and Director, respectively, for the operation.

Contents (Cont'd)

D. Cost Recovery . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 21E. Affordability .......... .. . .. . .. .. . .. . .. . .. . .. . . 22F. Accounting and Auditing ....... . . . . . . . . . . . . . . . . . . . 23G. Project Action Plan ........ .. . . . . . . . .. . . . . . . . .. . . 23

IV. ENVIRONMENTAL ASSESSMENT ...... . . . . . . . . . . . . . . . 23

V. PROJECT BENEFITS AND RISKS ...... . . . . . . . . . . . . . . . 28

A. Cost/ Benefits Analysis .................... 28B. Project Risks ................................. 29

VI. AGREEMENTS REACHED AND RECOMMENDATION ....... 30

Annexes

1. Implementing AgenciesAttachment 1 - Council for Development and Reconstruction - Operational FunctionsAttachment 2 - Ministry of Municipal and Rural Affairs - Operational FunctionsAttachment 3 - Zahle Municipality - Organization ChartAttachment 4 - Jbeil Municipality - Organization Chart

2. Detailed Estimate of Project Components3. Implementation Schedule4. Project Supervision Forecast5. Technical Assistance6. Loan Disbursement Schedule7. Project Action Plan

Attachment - Development Impact Monitoring Indicators8. Affordable Solid Waste Management Services9. Timetable for Landfills EAs and Site Acquisition

10. Environmental Assessment Summary:Attachment 1 - Summary Description of Disposal FacilitiesAttachment 2 - Terms of Reference for Senior Environmental SpecialistAttachment 3 - Summary of Environmental Management ActivitiesAttachment 4 - Odor Monitoring Approach for Municipal Solid Waste Compost PlantsAttachment 5 - Guidelines for Groundwater Monitoring CriteriaAttachment 6 - Guidelines for Wastewater Effluent Monitoring CriteriaAttachment 7 - Guidelines for General Use Compost Quality for the Protection

of Public Health, Safety and the EnvironmentAttachment 8 - Summary of General Site Selection Criteria for Controlled

Sanitary Landfills11. Sector Development Policy Statement12. Staff Working Papers

Map: IBRD 26530

LEBANESE REPUBLIC


Loan and Project Summary

Implementing Agencies: Council for Development and Reconstruction (CDR)Ministry of Municipal and Rural Affairs (MMRA)

Borrower: Lebanese Government

Beneficiaries: Council for Development and Reconstruction; Ministry of Municipaland Rural Affairs; Cazas and Municipalities; the people of Lebanonand visitors to the country.

Amount: US$55.0 million.

Terms: IBRD standard variable interest rate, with 17-year maturity,including 5 years of grace.

Project Objectives: The objectives of the project are to: (i) eliminate unsanitary andimproper dumping of solid waste; (ii) improve methods of wastecollection and disposal; (iii) improve cost recovery and modernizemunicipal management and finance systems; (iv) improve the qualityand marketability of compost, through the introduction of upstreamsorting of the waste; (v) increase the involvement of the privatesector in solid waste management; (vi) strengthen MMRA and theparticipating municipalities; and (vii) develop instruments for themore orderly planning and development of the coastal zone.

Project Description: The project would comprise provision of: (i) refuse collectionfacilities - containers and compactor trucks; (ii) waste disposalfacilities - sanitary landfills and compost plants; (iii) a hospital wastecollection and disposal system; and (iv) technical assistance andpreparation of a coastal zone management plan. It would meet thecountry's needs in solid waste management facilities, as foreseen inthe NERP. It would strengthen the institutions responsible for solidwaste management (SWM) and encourage private sectorparticipation, not only in the collection services but in the wholesector, including the investment of capital in SWM. It would alsohelp develop a Coastal Zone Management (CZM) plan that wouldserve as a tool to protect the Lebanese coast from furtherdegradation.

Benefits and Risks: The principal project benefit would be a major improvement in theenvironment and in public health conditions through the eliminationof accumulated refuse and uncontrolled dumping. Futuredevelopment of the Coastal Zone would be controlled. The main

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risks relate to the weakness of the municipalities which areresponsible for collection and disposal services and to the difficultiesof finding suitable land for sanitary landfills.

Estimated Project Cost:Local Foreign Total------- (US$ Million) ------

1. Civil Works 13.0 12.0 25.02. Goods and Equipment 2.7 20.9 23.63. Disposal Plant 8.5 51.5 60.04. Technical Assistance 1.1 9.9 11.0

Total Base Cost 25.3 94.3 119.6

Physical Contingencies 0.7 3.2 3.9Price Contingencies 2.0 9.5 11.5Total Contingencies 2.7 12.7 15.4

Total Project Cost 28.0 107.0 135.0

Financing Plan:

Funding Agencv Local Foreign Total------- (US$ Million) -------

1. IBRD 3.0 52.0 55.02. Government 25.0 - 25.03. Cofinanciers - 55.0 55.0

TOTAL 28.0 107.0 135.0

Estimated Project Completion Date: June 30, 2001

Estimated Disbursement: IBRD Fiscal Year(US$ Million)

1996 1997 1998 1999 2000 2001 2002

During the Year 2.6 6.6 15.6 13.4 11.0 4.2 1.6Cumulative 2.6 9.2 24.8 38.2 49.2 53.4 55.0

Economic Rate of Return: n.a.

Poverty Category: n.a.

Map: IBRD 26530

LEBANESE REPUBLIC



I. BACKGROUND

A. The Economy

1.1 Lebanon, a prosperous upper middle-income country in the mid-70s, has been devastatedby 15 years of turmoil as a result of violent civil strife and military occupation. In the periodbetween 1950 and 1975, Lebanon's free market economy expanded by about 6 percent perannum. This growth was largely driven by the service sectors, namely, trade, tourism, andfinance, which attracted business from surrounding oil-based economies. After the eruption ofcivil war in 1975, the economy deteriorated markedly, with intermittent recovery during the twoperiods of relative calm, 1978 to 1981, and 1986 to 1988. The civil war had a severe impacton the socio-economic conditions in the country. Lebanon's per capita income, about US$1,900in 1993, in real terms was only about half of the 1975 level, and income inequalities have beenaccentuated. The total damage to physical assets during the war period was estimated by theUnited Nations at US$25 billion. All principal sectors of the Lebanese economy - physical andsocial infrastructure, office and factory buildings, and housing - have been affected. Damageis both a direct result of the war, as well as the accumulated effects of a near total disruptionin capital investment and maintenance.

1.2 The impact of the civil war on social conditions has been equally grave. The loss inhuman resources has been considerable; apart from the tragic loss of life and the disabling ofhundreds of thousands of people, about 200,000 professional and skilled Lebanese have soughtemployment in other countries. While this has resulted in major shortages of skilled workersin various sectors of the economy, unemployment nevertheless is estimated at 35 percent of theresident labor force, and is believed to be particularly high among urban youth. Nearly onequarter of the population of 3.6 million has been displaced and now lives in unhealthy shantytowns, and in semi-destroyed and vacated buildings, with severe overcrowding and inadequatehousing quality. Urban poverty problems are especially pressing in Beirut. Public and socialservices are either non-existent or of poor quality, with only about one-third of power capacityoperating, water treatment and sewerage virtually nonexistent, and most schools and hospitalsdamaged.

1.3 Against this background, the Government of Lebanon has prepared a three-year NationalEmergency Reconstruction Program (NERP) which has recently been extended to the ten-yearHorizon 2000 program. A large part of the investment program is projectized, but many of theprojects need to be further developed in terms of consistency with sectoral policies, engineeringsoundness, and economic feasibility. The first five years of the Horizon 2000, which includesthe NERP, amounts to approximately US$5 billion (in constant 1992 prices).

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B. The Solid Waste Management Sector

1.4 Solid waste collection and disposal services deteriorated greatly during the civil war.Refuse collection trucks and containers, often used as barricades during the fighting, weredestroyed. The remaining equipment has either lived beyond its effective life or wasprematurely damaged because of lack of maintenance. Thus, refuse collection servicesdeteriorated to the point where they became almost non-existent and solid waste was haphazardlydumped on the streets, vacant lots and the coastline, with frequent intermingling of hospital andother hazardous wastes.

1.5 Refuse collection and disposal have always been the responsibility of the municipalauthorities. The service is funded, along with other municipal services, from the fungiblerevenues of the municipalities. These consist of: (i) a municipal tax equivalent to 11 percent ofthe imputed rental value of property, and the proceeds from land sales and construction permits,all of which are collected directly by the municipalities; and (ii) a share of certain revenues, suchas a 10 percent surcharge on telephone, electricity and water bills, and duties on imports, liquorand fuel, collected by the Central Government and distributed to the municipalities on the basisof population and the size of the previous budget, Beirut being limited to 60 percent of the totalunder the existing formula. In the past, municipalities were capable of providing adequate refusecollection services, although the development of sound disposal systems had only just startedwhen the civil war broke out. With time, the resource base of the municipalities was erodedbecause: (i) the Lebanese Pound has slid to about one-thousandth of its value in 1975; (ii)Lebanon, until July 1992, practiced absolute rent control, leaving revenues from the municipaltax frozen in terms of Lebanese Pounds; recently, however, rental values have increasedbetween 15- and 80- fold, according to the age of the property; (iii) during the war there wasa drop in the revenues from electricity, water and telephones; however, the revenues fromsurcharges on these services are expected to increase substantially as the major servicebottlenecks are removed with the help of the NERP, and follow-on projects; and (iv) becauseof Central Government budgetary constraints, the share of the municipalities has not been paidfrom the Municipal Fund although transfers are expected to resume in the not too distant future.Pending resumption of transfers from the Municipal Fund, the municipalities have to rely in parton ad-hoc advances from the Central Government to meet priority needs. Government hasrecently undertaken a study (funded by the Bank) for the development of a long-term strategyfor solid-waste management, anchored on the achievement of full cost recovery in the sector(para. 3.8).

1.6 Until recently, municipalities were under ihe tutelage of the Ministry of Interior (MOI),which gave priority to matters of public security over the provision of municipal services. Inrecognition of this difficulty, the Government has established a Ministry of Municipal and RuralAffairs (MMRA) whose primary role is to assist the municipalities, as described in Annex 1.MMRA's capacity to assist municipalities would be strengthened under the project through the

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provision of technical assistance and training. A sector development policy statement has beenprepared by Government (Annex 11).

1.7 Although Lebanon's physical features sometimes make it difficult to find sites for sanitarylandfills with suitably large capacity for refuse disposal, this is still the least cost and simplestmethod of disposal (see Annex 8). Composting is also considered an appropriate technology forthe disposal of large volumes of waste, particularly where there is a potential market for theproduct, as market studies (available on file) indicate for agricultural areas. Incineration israrely a viable option in Lebanon due to the substantial investment cost, high ratio of organicmatter in the refuse, and the extremely high operating costs. The Public Sector Investmentprogram for the sector under Horizon 2000, which consists mainly of the proposed project,amounts to about US$200 million.

C. Environmental Management

1.8 One of the results of the civil war in Lebanon was the deterioration of public services,particularly water supply, waste water disposal, solid waste collection, power supply, and publictransport. The deterioration of solid waste services has created a severe risk to public healthand the environment due to: pollution of water sources and distribution systems; discharge ofwaste directly into the sea and into irrigation canals; scattered piles of haphazardly dumped solidwaste throughout the country; mixing of hospital waste with domestic waste; and air pollutioncaused by burning of solid-waste. The situation has been further exacerbated by the lack of acountry-wide land use system which has led to haphazard expansion of dwellings on the seacoast, on fertile agricultural land and on sensitive natural ecosystems; pollution of surface watersand underground aquifers caused by uncontrolled pumping to provide the new communities withrunning water; pouring of sewage into disused wells; widespread deforestation; destruction ofthe cultural heritage; and degradation of marine and coastal areas.

1.9 The coastal zone has been particularly affected by these impacts, and is suffering severeenvironmental degradation. The destruction of the Central Business District (CBD) of Beirutand the separation of communities during 15 years of strife, led to the development of majorcommercial and industrial centers along the sea coast, which themselves triggered theconstruction of large housing settlements for employees. The sea coast from Tripoli in theNorth to Tyre in the South has become a continuous stretch of densely populated urbansettlements, many of which are lacking in services. In several areas along the coastline, solidwaste dumps and outfalls of untreated sewage pollute the sea, while emissions from traffic,power stations, cement plants and other industries, mostly using fuel of doubtful cleanliness,contribute to the atmospheric pollution.

1.10 Lebanon is in the process of preparing a comprehensive national framework forenvironmental protection. Recently, there have been several initiatives towards strengthening

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the recently created Ministry of Environment (MOE) to enable it to carry out its role of setting,monitoring and enforcing environmental standards. Assistance is being provided by theMediterranean Environment Technical Assistance Program (METAP) for the preparation of anational environmental strategy, which will identify the priorities for action and the policy,institutional and investment tools for their implementation. This will contribute to the definitionof the MOE long-term program and provide inputs to establish the broad institutional frameworkfor environmental management. The United Nations Development Programme (UNDP) isproviding a complementary program of technical assistance and training to MOE for the reviewand consolidation of environmental laws and regulations, institutional development, capacitybuilding for environmental assessment, and creation of public awareness and participationmechanisms. Although the enforcement of environmental regulations is feasible under theexisting legal framework, it is expected that actions will be accelerated when the revisedframework is approved by Parliament later in 1995. MOE has recently moved into newpremises, which will permit an expansion of staff from the present level of approximately 20people to the planned level of about 150 people.

1.11 CDR, which has the overall responsibility for planning and coordination of investmentprograms (see Annex 1), also needs strengthening in its environmental review functions. Inview of the need to integrate environmental considerations at the earliest stage of the planningprocess, CDR will use the services of the European Union (EU) funded Program ManagementUnit (PMU) to provide a senior environmental expert to train CDR staff and to coordinateenvironmental review activities. The expert, who started in post on April 20, 1995, will alsocoordinate the inclusion of environmental mitigation and monitoring actions into the constructionand operation of disposal sites (para. 3.3).

D. Rationale for Bank Involvement

1.12 In March 1993, the Bank approved a Loan in the amount of US$175 million for theEmergency Reconstruction and Rehabilitation Project (ERRP) to finance high prioritycomponents of GOL's NERP, including US$30 million for solid waste management.Implementation of the ERRP is progressing well. Bank involvement in the proposed SolidWaste/Environmental Management Project would help Government to complete the rehabilitationof the country's municipal solid waste management systems begund under the ERRP, providinga safe and clean environment for its citizens and for the foreign businesses and tourists that arecrucial to the country's future development. Above all, it would help to establish a technicallyand financially viable development policy in the sector. The project is consistent with theCountry Assistance Strategy for Lebanon which, inter alia, supports rehabilitation ofinfrastructure, addressing environmental concerns, increasing the role of the private sector inthe provision of public services and strengthening the core functions of public administration.

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II. THE PROJECT

A. Project Objectives

2.1 The main objectives of the project are to: (i) eliminate unsanitary and improper dumpingof solid-waste; (ii) improve methods of waste collection and disposal; (iii) improve cost recoveryand modernize municipal management and finance systems; (iv) improve the quality andmarketability of compost, through the introduction of sorting of the waste at the entrance to thecompost plant; (v) increase the involvement of the private sector in solid waste management; (vi)strengthen CDR and MMRA and participating municipalities; and (vii) create instruments forthe more orderly planning and development of the Lebanese coastal zone. Basically, the projectwould complete the rehabilitation of the country's municipal solid waste collection and disposalsystems as envisaged under the NERP and introduce a separate system for hospital waste (theneeds for detection and disposal of industrial/hazardous/toxic wastes are to be studied by MOEunder terms of reference agreed by the Bank (para. 4.12).

B. Project Description

2.2 The project would comprise the provision of: (i) refuse collection facilities - containersand compactor trucks; (ii) waste disposal facilities - sanitary landfills and compost plants; (iii)separate collection and disposal of hospital waste; and (iv) technical assistance and thepreparation of a coastal zone management plan. It would meet the country's needs in solidwaste management facilities, as foreseen in the NERP. It would strengthen the institutionsresponsible for SWM and encourage private sector participation, not only in the collectionservices but in the whole sector, including the investment of capital in SWM. It would also helpdevelop a Coastal Zone Management (CZM) plan that would help serve as a tool for theprotection of the Lebanese coast from further degradation.

C. Detailed Features

Collection Equipment

2.3 The collection equipment will consist of containers and compactor trucks. Two types ofcontainers will be procured to maintain the standards adopted under the ERRP, namely: (i) 1100liter, galvanized containers with covers for use in the urban centers of the coastline; and (ii)1500 liter, painted steel, open containers for the rest of the country. The compactor trucks willbe standardized at 10 cubic meters capacity, as these are suited to the narrow streets of the majorcities and the winding, steep hills of the hinterland.

(a) Containers: These will be 5,200 in number, distributed across the country inaccordance with the estimated population densities. Of this total, 1,600 will be

in galvanized steel and the remaining 3,600 in painted steel. Added to the 2,800containers financed under the ERRP, the total number will be 8,000 (as estimatedunder the NERP).

(b) Compactor Trucks: The total number of new trucks will be 180, which, inaddition to the 76 trucks financed under the NERP, will bring the total to the 256trucks estimated as being required by the NERP. Again, distribution will be inaccordance with estimated population.

(c) Special Equipment: Provision has been made in the project for the procurementof special equipment. These include separate containers and trucks for thecollection and transport of hospital waste to the special incinerator, streetsweeping and washing equipment for Beirut and trailer trucks for the purpose oftransporting large quantities of waste.

Disposal Facilities

2.4 These will include 15 new landfills (in addition to the 13 financed under the ERRP)bringing the total number of landfills in the country to 28, so that each Caza will have its ownlandfill. Three compost plants will be built, one in Saida with a capacity of 200 tons of wasteper day, one in Zahle, also with a capacity of 200 tons of raw waste per day, and a third onewith a capacity of 240 tons a day to complement the existing incinerator in Beirut, which hasa capacity of 240 tons per day (two furnaces, each capable of incinerating 5 tons per hour).

(a) Sanitary Landfills: Sites for landfills to be financed under the proposed projectwill be selected on the basis of environmental assessments agreed by theexecuting agency and the Bank. The landfills will be located at suitable distancesfrom urban developments. The area will be sufficient to meet the needs of theCaza for 20 years. Each sanitary landfill will be enclosed with a suitable fenceto prevent encroachment by scavengers and stray animals. A guardhouse andweighbridge will be located at the entrance to each site, enabling access to becontrolled and the source of waste and its weight to be recorded. A suitablegarage on site will house all the equipment belonging to the Caza and will provideroutine maintenance services. An administration building will house the staff incharge of operating and maintaining both the landfill and the mobile equipment.Eacti site will be provided with the necessary earth-moving and compactingequipment. This will vary in quantity and size depending on the size of thelan Ifill and the volume of incoming waste. Generally, each site will be providedwith a mechanical shovel, a water tanker and a sheep's-foot type earth compactor.

(b) Compost Plants: The two compost plants in Saida and Zahle will be designedin accordance with appropriate technology. Before the waste enters the process

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cycle, large, hard lumps of debris will be separated and sorted out. Then, as thewaste is conveyed towards a shredding/homogenizing drum, recyclable materials -glass, plastics, paper, cloth, and bones - will be manually separated and droppedfrom special chutes to a compacting and baling unit for sale to manufacturingindustries. Ferrous metals will be separated magnetically. The homogenizedcompost will be mechanically aerated and turned, then deposited in windrowsuntil maturation. This will result in the production of homogeneous, high-qualitycompost which can be marketed easily to the farming community once its benefitsare realized.

(c) Amrousiyeh Complex: The original design of the incinerator at Amrousiyeh hadmade provision for a third unit of 10 tons per hour incineration capacity.Experience with the existing furnaces has not been satisfactory because of thehigh moisture content and low calorific value of the waste. Fuel oil is now usedto improve combustion and the air emissions consist of black smoke and othercontaminants related to incomplete oxidation of the combustion gases. TheEnvironmental Assessment (EA) report recommends that the incinerator capacityshould not be expanded as originally designed, and that a compost plant, similarto that described above (see (b) Compost Plants) be constructed. Duringappraisal, it was agreed that part of the land adjacent to the incinerator would beused for the construction of a compost plant next to the incinerator. Anenvironmental assessment for this compost plant has been undertaken (see para.2.23). Refuse going into the combined facility would be separated - organicmatter would be channeled to the compost plant while incinerable material wouldgo to the incinerator. The calorific value of the waste being incinerated wouldbe further improved by (i) selective collection of a minimum of 120 tons per dayof waste from higher income neighborhoods and/or (ii) high calorific value sortedwastes from the compost plant. The project also provides for the rehabilitationof the emission system of the existing facility which, upon completion, willoperate to improved environmental standards based on the European Union (thenEuropean Economic Community) Directive on Municipal Waste IncinerationPlants (89/429/EEC - OJ L203, 15 July 1989). The selection of an appropriatedesign for the air pollution control system will be carried out during detailedengineering design.

(d) Incinerator for Hospital Waste: An appropriately designed incinerator will beconstructed for the disposal of hospital waste from hospitals throughout Lebanon.Its precise location and capacity will be determined by feasibility andenvironmental studies to be undertaken during project implementation.Appropriate transport will be procured to transport hospital waste to theincinerator.

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Table 2.1: Solid Waste/Environmental Management ProjectSummary Description of Disposal Facilities

GOVERNORATE SITE LAND LOAN DISPOSALCAZA SELECTION OWNERSHIP FINANCING FACILITY

........ .... ................................................................................................................................... ...... .......................... ........ . ..................... . .... ......................................... ....._. ... ......

GREATER BEIRUT:Greater Beirut yes G/P SW/EM Amrousiyeh ComplexGreater Beirut yes G ERRP Karantina Compost Plant

(Modernization)Greater Beirut no - ERRP LandfillGreater Beirut yes G nil Dora LandfilGreater Beirut yes G nil Normandic Landfill

NORTH LEBANON:Akkar no P ERRP LandfillBatroun no P ERRP LandfillBcharre no P SW/EM LandfillKoura no P ERRP LandfillTripoli yes G ERRP LandfillZgharta no P SW/EM Landfill

MOUNT LEBANON:Aley no P SW/EM LandfillBaabda no P SW/EM LandfillChouf I yes P ERRP LandfillChouf 2 yes G SW/EM LandfillJbeil I no P ERRP LandfillJbeil 2 no P SW/EM LandfillKesrouane no P ERRP LandfillMetn no P ERRP Landfill

SOUTH LEBANON:Bent Jbeil yes P SW/EM LandfillHasybaya no P SW/EM LandfillJezzine yes P SW/EM LandfillMarjayoun no P SW/EM LandfillNabatiye no P SW/EM LandfillSaida yes P ERRP and Landfill and Compost Plant

SW/EMSour (Tyre) yes G ERRP Landfill

BEKAA:Baalheck I yes P ERRP LandfillBaalbeck 2 no P SW/EM LandfillHemiel no P SW/EM LandfillRachaya no P SW/EM LandfillWest Bekaa no P SW/EM LandfillZahle yes P ERRP and Landfill and Compost Plant

SW/EM

Hospital Incinerator(s): no SW/EM Hospital Incinerator

Notes: G = Govenument Land OvnershipP = Private Lanxd Ow nershipERRP = Emergency Reconstuction and RehabiliLation LoanSW/EM = Solid Waste / Envirotiniental Managenmeni Loan

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2.5 Upon construction of the new landfills, the old uncontrolled dumps will be closed andrehabilitated. The rehabilitation of the old dumps will be carried out in accordance withinternationally accepted standards. CDR will prepare a plan by September 30, 1996 to assessthe impacts of, and develop cost effective measures for, closing the old dumps and, afterexchanging views with the Bank, will start to implement this plan by March 31, 1997(para. 6.1).

Technical Assistance

2.6 Technical assistance will comprise three major components, namely: (i) the preparationof a coastal zone management plan that would serve as a tool for the protection of the Lebanesecoast from further degradation; (ii) engineering services for the design and supervision ofconstruction (or implementation) of project components; and (iii) institutional development forCDR, MMRA, and the principal municipalities through the appointment of international experts,training of staff, and provision of computers and other modern equipment to help improveefficiency.

(a) Coastal Zone Management Plan: This component aims at creating theinstruments and building the institutional capacities for the physical planning andmonitoring of the coastal zone development, in order to improve environmentalconditions and prevent further degradation. Its outputs would include: (i)preparing a regional environmental assessment which will identify the cumulativepressures and impacts of the coastal zone development under different investmentscenarios (terms of reference available on file); (ii) establishing a GIS system forphysical planning and monitoring of the coastal zone development for use byCDR, MMRA and the municipalities; (iii) preparing a coastal zone managementplan to be approved and legally binding on all future developments on the coast;and (iv) initiating the implementation of emergency actions to protect and/orrehabilitate coastal resources. The coastal zone management plan will include:(a) a strategy for the allocation of coastal and marine resources, defining areasto be conserved and protected and policies for zoning and development ofeconomic activities in the coast; (b) a regulatory needs assessment and preparationof draft guidelines, rules and regulations for control of activities on the coast; and(c) mechanisms for recurrent funding to support CZM activities and encouragepublic/private partnership.

(b) Engineering Services: The designs of compactor trucks, containers, and landfillshave been completed, or are in the process of being completed, under the ERRP.Engineering services will be needed for assistance to CDR in bid evaluation, andsupervision of construction. Full engineering services will be provided for the(i) design and construction supervision of the two compost plants in Saida andZahle; (ii) design and construction of the air pollution control system and the

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compost plant at the existing Amrousiyeh incinerator; and (iii) design andconstruction supervision of the incinerator for the disposal of hospital waste.

(c) Technical Assistance and Training: As both MOE and MMRA are newlyestablished ministries, their staff requires training in the development andimplementation of their responsibilities. MOE is already receiving technicalassistance from UNDP for institutional development. In the short term, there isan immediate need to create capacity to review and manage environmentalassessments at CDR, the project implementing agency. This agency willgradually take on responsibilities of decision making and.loan administration forthe environmental aspects of this loan, and this will be initiated with therecruitmnent of a senior environmental specialist experienced in environmentalassessment to reinforce the PMU at CDR. This would be a permanent position,and eventually CDR may require a stronger environmental assessment unitcomposed of several environmental specialists to manage activities related topreparation and review of environmental assessments in all infrastructure sectors.As currently the institutional capacity for environmental management is in theformative stage in Lebanon, the Bank will closely supervise and approve allenvironmental assessments carried out by CDR, the implementing agency (para.3.3). MMRA also requires strengthening of all departments. The project willrecruit three international experts who will constitute the Project CoordinationUnit (PCU) in MMRA and who will each serve for two years, coordinatingproject implementation and training MMRA staff. These will consist of a: (i)senior municipal engineer, with experience in solid waste and wastewater systemsmanagement; (ii) senior financial expert with experience in modem municipalfinancial management; and (iii) senior planner with experience with planning,zoning and urban transport. Upon the recommendations of these experts, theproject would finance the procurement of computers and other office equipmentto modernize the accounting and management systems at both MMRA and theprincipal mu-nicipalities, together with the necessary training in their use. Finally,the project would provide for the training abroad in municipal management of sixtechnical staff from MMRA and one from each principal municipality.

D. Project Costs aitd Financing Plan

Project Costs

2.7 Total project cost is estimated to be about US$135.0 million of which about 41 percentwill be financed by the proposed Bank loan of US$55.0 million. An exchange rate of US$1.0= LL 1650 has been used. The cost estimates for the compactor trucks, containers andlandfills, are based on the contracts awarded for identical works under the ERRP, adjusted for

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inflation. The cost estimates for the incinerator for hospital waste, the compost plants at Saidaand Zahle, and the compost plant and rehabilitation of the incinerator at Amrousiyeh are basedon recent proposals received by CDR for similar projects. No physical or price contingencieshave been allowed for the cost of land. Similarly, contingencies have not been allowed for thetechnical assistance components. A physical contingency of 10 percent has been included in thecost of the civil works only. Price contingencies for equipment and civil works have beenincluded on the basis of the following annual inflation rate projections:

GOL's Fiscal Year FY95 FY96 FY97 FY98 FY99 FY2000 FY2001

Costs in:US$ 1.5 1.8 2.7 2.5 2.5 2.6 2.6LL 8.0 6.0 5.0 4.0 2.5 2.5 2.4

A summary of cost estimates for the project is given in Table 2.2 below.

Table 2.2: Summary of Cost Estimates

Item LL (million) USS ('000) Percent Percent ofNo. Subprojec and Component Local Fomign Total Local Foreign Total Forign Base Cost

1. CIVIL WORKS1.1 Land Acquisition 11,550.00 0.00 11,550.00 7,000.00 0.00 7,000.00 0.00 5.851.2 Development of New Sites 3300.00 6,600.00 9,900.00 2,000.00 4,000.00 6,000.00 66.67 5.021.3 Closure of Old Dumps 4,950.00 11,550.00 16.500.00 3.000.00 7,000.00 10,000.00 70.00 8.361.4 BiAldings and Workshops 1,650.00 1,650.00 3,300.00 1,000.00 1,000.00 2,000.00 50.00 1.67

Sub-Total 21,450.00 19,800.00 41,250.00 13,000.00 12.000.00 25,000.00 48.00 20.90

2 GOODS AND EQUIPMENT2.1 CompactorTnucks 2,310.00 21,450.00 23,760.00 1,400.00 13,000.00 14,400.00 90.28 12.042.2 Containers 825.00 1,980.00 2,805.00 500.00 1,200.00 1,700.00 70.59 1.422.3 Landfill Equipment 825.00 7,425.00 8,250.00 500.00 4,500.00 5,000.00 90.W0 4.182.4 Special Equipment 412.50 3,712.50 4,125.00 250.00 2,250.00 2,500.00 90.00 2.09

._____ .Sub-Total 4,372.50 34,567.50 38,940.00 2,650.00 20,950.00 23,600.00 88.77 19.73

3 DISPOSAL PLANTS3.1 Compost Plant in Saida, 200T/day 3,960.00 22,440.00 26,400.00 2,400.00 13,600.00 16,000.00 85.00 13.383.2 Compost Plant in Zahle, 200Tlday 3,960.00 22,440.00 26,400.00 2,400.00 13,600.00 18,000.00 85.00 13.383.3 Amnrouslyeh Compost Plant 4,455.00 25,245.00 29,700.00 2,700.00 15,300.00 18,000.00 85.00 15.053.4 Hospital Waste Inndnerator 11,650.00 14,850.00 16,500.00 1,00.00 9,000.00 10,000.00 90.00 8.36

Sub-Total 14,025.00 84,975.00 99,000.00 8,500.00 51,500.00 60,000.00 85.83 50.17

4 TECHNICAL ASSISTANCE4.1 Coastal Zone Management 825.00 7,425.00 8,250.00 500.00 4,500.00 5.000.00 90.00 4.184.2 Engineering Services 660.00 5,940.00 6,600.00 400.00 3,600.00 4,000.00 90.00 3.344.3 Technical Assistance and Training 330.00 2,970.00 3,300.00 200.00 1,800.00 2000.00 90.00 1.67

Sub-Total 1,815.00 16,335.00 18,150.00 1,100.00 9,900.00 11,000.00 90.00 9.20

Total Base Cost 41,662.50 155,677.50 197,340.00 25,250.00 94,350.00 119,600.00 78.89 100.00

5. Contlngendes5.1 P!lysical Confingencles 1,155.00 5,280.00 8,435.00 700.00 3,200.00 3.900.00 82.05 3.265.2 Price Contingencies 3,382.50 15,592.50 18,975.00 2,050.00 9,450.00 11,500.00 62.17 9.82

Total Contingendes 4,537.50 20,872.50 25,410.00 2.750.00 12.650.00 15,400.00 82.14 12.U8

= TOTAL COST 48,200.00 176,550.00 222,750.00 28,000.00 107,000.00 135,000.00 79.26 112.88

NOTE: US S1.0 - LL 1.650

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E. Financing Plan

2.8 Financing of the project would be divided into two distinct, parallel parts: (i) componentsfinanced through Bank funds; and (ii) components financed through cofinancing. The LebaneseGovernment has requested the Japanese Government to cofinance the project in an amount equalto the Bank loan, and the initial reaction so far has not been negative. The Cofinancing fundswould finance the disposal plants, i.e., the compost plant in Saida, the compost plant in Zahle,the compost plant at Amrousiyeh, and the incinerator for hospital waste. The remainingcomponents would be financed with funds from the Bank loan. The financing plan is shown inTable 2.3 below. A cofinancing agreement for the equivalent of US$55 million will be signedwith Japan or alternative financing will be found (para. 6.1).

Table 2.3: Financing Plan

Funding Agency Local Foreign Total % of Financing Plan------------ (US$ Million) -----------

1. IBRD Loan 3.0 52.0 55.0 41.02. Government 25.0 - 25.0 18.03. Cofinanciers - 55.0 55.0 41.0

TOTAL 28.0 107.0 135.0 100.0

F. Procurement

2.9 All Bank-financed civil works, equipment and materials, would be procured inaccordance with the Bank's Procurement Guidelines. Procurement of consultant services andtechnical assistance would follow Bank's Guidelines for the Use of Consultants. Lebanesemanufacturers competing for goods and equipment contracts under International CompetitiveBidding (ICB) would receive a preference in bid evaluation of 15 percent of the CIF price orthe prevailing custom duty applicable to non-exempt importers, whichever is less, provided thelocal value added to the product is not less than 20 percent of the ex-factory bid price.

2.10 Contracts for the supply of goods and equipment valued at US$250,000 or more wouldbe awarded through fCB procedures. Contracts for the supply of goods would be grouped, asfar as practicable, to attract international competition. Arrangements would be made for phaseddelivery of compactor trucks and containers to match the availability of landfill sites. Goods andequipment costing between US$50,000 and US$250,000 would be procured through internationalshopping, up to a limit of US$1.5 million, obtaining at least 3 quotations from suppliers in threedifferent eligible countries, and those below US$50,000 would be procured through localshopping, up to a limit of US$500,000, by solicitation of at least three price quotations.

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Table 2.4: Procurement Arrangements (US$ million)!'

No. of IBRD Procurement Methods TotalContracts ICB LCB Other N.B.F Cost

1. CIVIL WORKS1.1 Land Acquisition - - - - 7.0 7.0

1.2 Landfill Development 15 - 7.5 - - 7.5- - (5.1) - - (5.1)

1.3 Closure of Dumps 15 - 12.4 - - 12.4- - (8.6) - - (8.6)

1.4 Buildings & Workshops 15 - 2.5 - - 2.5(1.3) - - (1.3)

Sub-total 45 - 22.4 - 7.0 29.4- - (15.0) - (15.0)

2. GOODS AND EOUIPMENT2.1 CompactorTrucks 1 18.0 - - - 18.0

- (18.0) - - - (18.0)2.2 Containers 1 2.0 - - - 2.0

- (1.3) - - - (1.3)2.3 Landfill Equipment 1 6.5 - - - 6.5

- (6.5) - - (6.5)2.4 Special Equipment 10 1.2 - 2.0 - 3.2

- (1.2) - (2.0)23 - (3.2)

Sub-total 13 27.7 - 2.0 - 29.7(27.0) - (2.0) - (29.0)

3. DISPOSAL PLANTS (Financed by Cofinanciers)3.1 Saida Compost Plant 3 17.5 17.5

3.2 Zahle Compost Plant 3 - - - 17.5 17.5

3.3 Amrousiyeh Complex 3 - - - 19.5 19.5

3.4 Hospital Waste Incinerator 3 - - - 10.4 10.4

Sub-total 12 - - - 64.9 64.9

4. TECHNICAL ASSISTANCE 1'4.1 Coastal Zone Management 3 - - 5.0 - 5.0

- - - (5.0) - (5.0)

4.2 Engineering 4 - - 4.0 - 4.0- - - (4.0) - (4.0)

4.3 TA & Training - - - 2.0 - 2.0(2.0) - (2.0)

Sub-total 7 11.0 11.0( 11.0) - (11.0)

TOTAL 77 27.7 22.4 13.0 71.9 135.0- (27.0) (15.0) (13.0) - (55.0)

1/ Figures in brackets represent IBRD financing.2/ Consultants will be recruited in accordance with Bank guidelines.3/ International and Local Shopping

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2.11 Contracts for civil works valued at US$500,000 or more would be awarded through ICBin accordance with Bank Guidelines. Civil works contracts under US$500,000, and civil worksfor the development of landfills or the rehabilitation of old dumps, which are in the range ofUS$100,000 to US$750,000, would be awarded through LCB open to foreign contractors. LCBprocedures have been reviewed recently as part of a Country Procurement Assessment Report(CPAR) and the differences between Lebanese regulations and the Bank's ProcurementGuidelines reviewed.

2.12 All bidding packages for works and goods estimated to cost US$250,000 equivalent ormore, and consultant contracts over US$100,000 (US$50,000 for individuals), would be subjectto the Bank's prior review. 'rhese limits would result in prior review of about 95 percent oftotal procurement financed by the loan. Other contracts for works and goods would be subjectto the Bank's review after award of the contract. Where prequalification is used for majorequipment contracts, procedures according to the Bank's Guidelines would be followed. Table2.4 gives a breakdown of project components to be procured by ICB, LCB, and otherprocedures.

G. Disbursement and Special Account

2.13 Table 2.5 shows how the proposed Bank loan of US$55.0 million will be disbursedagainst the various project components.

Table 2.5: Disbursements

Amount % of ExpendituresCatezorv Description US$ million To be Financed

I Civil Works 12.0 70% of Expenditures(excluding cost ofland)

2 Goods & Equipment 23.1 100% of foreign expenditures;100% of local expenditures (ex-factory cost); and 80% of localexpenditures for other itemsprocured locally

3 Tecl;nical Assistance 11.0 100% of allExpenditures

4 Unallocated 8.9

TOTAL 55.0

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2.14 The estimated quarterly disbursement schedule is given in Annex 6. The disbursementschedule is based on the Bank's disbursement profile for the MENA Region but has been slightlymodified for a 6-year implementation period instead of eight years. This is due to the fact thatabout 50 percent of the loan will be contracted during the first six months of effectiveness (seeparas. 2.17-2.23). Disbursements are expected to be completed within six months after projectcompletion. The closing date of the proposed loan will be December 31, 2001.

2.15 Out of the proposed loan, US$5.0 million (or 9 percent of total loan) will be used foradvance procurement and retroactive financing, from the time of appraisal (December 1994),of (i) consulting services for institutional strengthening, for the CZM plan, for the proposedcompost plants in Saida and Zahle, and for the incinerator for hospital waste; and (ii) theprocurement of compactor trucks and containers. Such advance procurement is necessary fortimely project implementation and to maintain the momentum started under the ERRP.However, all retroactive financing will be within the maximum period of twelve months priorto the expected date of loan signing.

2.16 In order to enable CDR to effectively implement the project and to ensure availability offoreign exchange to international contractors, CDR would maintain a Special Account at theBanque du Liban, the Lebanese central bank, for a maximum amount of US$2.0 million (US$0.5million until US$4.0 million has been disbursed from the Loan Account), which is expected tocover the Bank's share of eligible expenditure over a four-month period. Payments from theSpecial Account would only be made for eligible expenditures indicated in the Loan Agreement.The account would be denominated in US dollars and replenished monthly, or whenever half theauthorized allocation has been utilized, whichever comes first. All payments of less than 20percent of the authorized allocations to the Special Accounts must be made through the SpecialAccount; all other payments may be made using the direct payment or Special Commitmentprocedure. All disbursements for contracts under the procurement prior review limits will besubmitted under Statements of Expenditures (SOE). Related supporting documents for SOEclaims would be retained at CDR's headquarters and made available for inspection by Bankmissions and project auditors. The Special Account and the SOEs will be audited in conjunctionwith the annual audit of CDR's accounts, the auditor providing separate opinions for the SpecialAccount. the SOEs and CDR's accounts (para. 3.12).

H. Project Status and Implementation

2.17 Engineering Consultancy Services: An international consulting firm was awarded aUS$1.5 million contract, on the basis of an internationally competitive bidding process, for thedesign and supervision of the landfills for the 13 priority Cazas which formed part of the ERRP.Final engineering designs and bidding documents for the first five Cazas of Baalbeck, Chouf,Tripoli. Tyre and Zahle have been completed and invitations to bid will be launched in May,1995. In view of the similarity of the work between the two phases and for reasons of economy

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and efficiency, CDR, with the concurrence of the Bank, negotiated a US$500,000 extension tothe contract to cover the engineering services of the second phase of 15 landfills (out of the 25Cazas, three are large and will have two landfills each) to be financed out of the proceeds of theERRP. The terms of reference require the consultants to carry out a complete EA for each sitein accordance with the provisions of OD 4.01. It is expected that all the engineering design andbidding documents for the landfills will be completed by the end of June, 1996. EAssatisfactory to the Bank will be carried out and submitted to the Bank for approval prior toaward of contracts for site development (para. 6.1).

2.18 CDR will be responsible for the execution of the CZM Plan, under the orientation of atechnical steering committee. The Committee will include representatives of CDR, MOE,MMRA, main coastal municipalities, Departments of Urbanism and Transport (Ministry ofPublic Works), and the Executive Council for Major Projects. The technical assistance for theCZM Plan has commenced with the preparation of detailed terms of reference for the RegionalEnvironmental Assessment (REA) of the coastal zone. A consultant will commence work onthe REA in 1995, with retroactive financing under the project.

2.19 The bidding documents for the compactor trucks and containers have already beenprepared, following the model used in the ERRP. CDR has started prequalification of thebidders and will issue the invitations for bids by June 1995, to be ready for the award andsignature of the relevant contracts by the date of loan effectiveness.

2.20 CDR is bidding a contract for the detailed engineering design and bidding documents ofthe compost plant and air pollution control system in Amrousiyeh, in accordance with TORsapproved by the Bank (the EA has already been completed and reviewed by the Bank). Biddingdocuments would be ready by May, 1995 and CDR expects to be able to award a contract bymid-1995. Consulting contracts for the detailed engineering design and bidding documents ofthe two compost plants at Saida and Zahle and the incinerator for the disposal of hospital wastewill be awarded by international competition, with detailed engineering work starting in thesummer of 1995 and to be completed early in 1996.

2.21 Land Acquisition: Land acquisition under the ERRP was initially slow as municipalities,most of which did not have the funds for the acquisition of privately owned land and doubtedthat the funds for acquisition and development were available, sought public land for landfillsites. However, many of these proved to be unsuitable. Several factors are expected to improvethe situation very quickly: (i) construction will soon start in the first five Cazas mentioned inpara. 2.17 above, serving as a model for the others; (ii) CDR will use funds allocated to landacquisition under rhe Government's reconstruction program to support municipalities that are notable to provide the necessary funds; and (iii) expropriation procedures will be used wherenecessary (a special expropriation unit has been set-up in CDR for this purpose).

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2.22 The project requires the selection of environmentally and economically acceptable landfillsites, and to this end has developed a "Summary of General Site Selection Criteria forControlled Sanitary Landfills" (Attachment 8 to Annex 10). These criteria will be used to selectthe landfill sites financed under the project. No sites will be acquired that would involveinvoluntary resettlement. In order to reinforce and accelerate the process of site selection ofenvironmentally acceptable sites, a detailed schedule for land acquisition (Annex 9) wasdiscussed during negotiations and the following agreements were reached: (i) environmentalassessment (EA) reports will be prepared by the Borrower to recommend one or moreenvironmentally acceptable sites for each Caza and the EA reports will be submitted to the Bankfor review; (ii) negotiations should be initiated on one or more of the selected sites, andexpropriation proceedings initiated as necessary; and (iii) no collection equipment will beallocated to municipalities until they have acquired the land for landfills (para. 6.1). Theseprocedures should ensure that most landfill sites are acquired for the project by the end of 1995.

2.23 The two landfill sites in Saida and Zahle have been selected with a view to constructingthe two compost plants on the same sites, and sufficient space is available for this purpose. Thiswill both reduce the environmental impact of the two plants and place them within easy accessof the landfill for the disposal of rejects. As mentioned under para. 2.4 (c), the Amrousiyehincinerator was originally designed for future expansion and there is sufficient land availableadjacent to the incinerator for construction of a compost plant. An Environmental ImpactAssessment of the Amrousiyeh Complex has been reviewed by the Bank.

2.24 Project Implementation Schedule: Annex 3 shows the project implementation schedulein bar chart form. As the project is part of the NERP and is a continuation of the ERRP, manyproject components are linked and will overlap with ongoing projects.

1. Project Supervision

2.25 The implementation of the project is expected to take about six years. The Bank wouldsupervise the project three times a year during the first two years of project implementation, andan average of twice a year during the last four years. The core team for the supervisionmissions would consist of a municipal engineer, a financial analyst, and an environmental expert.This core team would be supplemented by experts in the (i) production and marketing ofcompost and utilization of recycled material from the waste; and (ii) incineration of municipalsolid waste and hospital waste. The project builds on the experience of the ERRP; theimplementing agency, CDR, is both competent and familiar with Bank procedures. About 14supervision missions are planned during project implementation and the supervision effort isestimated to require a total of 119 staffweeks (average of 17 staffweeks per year). Thesupervision effort is heavily front-loaded to ensure adequate performance in the critical earlyyears of the project. The tentative supervision forecast is in Annex 4.

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2.26 In addition to supervision missions, the project will be monitored through semi-annualprogress reports which would be submitted by the CDR to the Bank within 30 days after the endof each semester during the entire project implementation period. These reports would focuson both the cumulative and specific progress achieved during the reporting period for: (a) theimplementation of the agreed action plan to implement the sector development strategy, includingits development impact; (b) preparation of environmental assessments for selection of disposalsites and status of site acquisition; (c) the bidding process for all major contracts for civil worksand equipment to be procured; (d) the physical progress by contract of civil works andequipment delivery; (e) the status of technical assistance, studies, designs, programs,environmental monitoring, and staff training; (f) the status of Bank disbursements and projecteddisbursements for the next six months; (g) the status of covenants and accounts and audit; and(h) a summary of any issues raised by Bank missions and actions taken for their resolution. Abrief summary would be added explaining the reasons for any delays or shortcomings in any ofthe above items and of actions taken to improve progress.

2.27 A mid-term review of all project activities would be conducted jointly by theCDR/MMRA and the Bank. To facilitate this review, CDR would prepare a detailed reportcovering all aspects of the project and submit it to the Bank by December 31, 1998 for a jointreview in February 1999. The implementation completion report, including assessment of theproject's development impact, would be prepared by CDR and submitted to the Bank not laterthan six months after the loan closing date.

J. Private Sector Involvement

2.28 So far, the involvement of the private sector has been limited to service contracts, usingexisting municipal collection equipment for transport to the dumps. Three relatively largecontracts for collection and for operation and maintenance were awarded in Beirut to the privatesector. These included: (i) the operation and maintenance of the Amrousiyeh incinerator, foran annual fee of US$1.35 million; (ii) the operation and maintenance of the Karantina compostplant, for an annual fee of US$1.75 million; and (iii) collection services for Greater Beirut, foran annual fee of US$3.65 million. The first year's operation on all three contracts is beingfunded out of the proceeds of the ERRP and performance is generally satisfactory. A similarcontract has been awarded for the entire Chouf region. Some municipalities, like Zahle and theAssociation of Northl Metn had on-going contracts with the private sector, even before theERRP. Municipalities will be required to enter into similar contracts under the proposed projectbefore receiving collection equipment, unless they are able to demonstrate, as some can, thatthey are capable of performing the function with their own resources (para. 6.1).

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K. Women in Development

2.29 Women, in general, are not directly involved in the collection and disposal of waste. Insome communities (as in Jbeil), women's groups have formed associations for cleaning theenvironment. They have started an awareness campaign and have managed to collectcontributions from businessmen and higher income groups to support the activities of theirmunicipalities. However, women are quite active in local administrations both as professionalsand support staff. The ratio of women in municipal organizations reaches up to twenty percentin the major urban areas and about ten percent in the rural communities.

L. Poverty Impact

2.30 The project has a high impact on poverty because of the difficulties faced by the poor toorganize their own waste collection systems. The poor depend on the municipalities to collecttheir waste and are willing to pay a reasonable fee for the service. During periods of failure ofthe municipal institutions, the higher income areas are able to hire private entrepreneurs tocollect the waste and take it to a dump while, not having the same resources, the largest pilesof uncollected waste are found in the poorer areas, causing major health hazards. Childrenplaying in these areas are particularly at risk. An additional benefit of the project for the poorwill be the creation of additional employment opportunities in the collection and sorting of wasteand recycling.

III. PROJECT EXECUTION AND MANAGEMENT

A. Background

3.1 While the ultimate beneficiaries of the project will be the people of Lebanon and visitorsto the country, the intermediate beneficiaries will be the municipal organizations, which areunder the tutelage of MMRA. The Council for Development and Reconstruction (CDR) willassume responsibility for implementation of the project, with the support of MMRA. CDR isadequately staffed with competent personnel; its procurement regulations, which are simpler thanthose of line ministries, work well and are acceptable to the Bank; and it has rapidly gainedexpertise in implementing Bank-financed projects. Within CDR, a Program Management Unit(PMU) consisting of a number of specialists is responsible both for planning and for coordinationwith the line ministries, through Sector Implementation Units (SIUs) located in the ministries.This arrangement was set up under the ERRP and found to work well. It is being financedunder a grant from the European Union.

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B. Organization and Management

3.2 CDR was established as an autonomous body with a Board of Directors chaired by aPresident and reports directly to the Council of Ministers. The Board of Directors is thesupreme authority for setting policies concerning CDR's activities, for approval of CDR's workprogram and annual operating and capital budgets, and for awarding and supervising contracts.CDR also appoints consultants for the design and supervision of construction/implementationcontracts.

3.3 The preparation of environmental assessment (EA) reports for each of the disposalfacilities (Amrousiyeh complex, compost plants, landfills and hospital incinerator(s)) will be theresponsibility of the implementing agency, CDR. A senior environmental specialist experiencedin environmental assessments has been charged with the daily management of the EA work.This professional will participate in the forward planning for solid waste that will include: (i)preparing terms of reference for EAs for each disposal facility, to include recommendations forseveral environmentally acceptable sites; (ii) managing and monitoring the work ofenvironmental consultants; (iii) reviewing EAs to ensure complying with the World Bank'sOperational Directive 4.1 on the behalf of the Borrower; (iv) submittal of the final EA reportto the World Bank for concurrence prior to final approval. The environmental specialist positionwithin the PMU at CDR was filled on April 20, 1995, financed by the European Union. Termsof reference for the Senior Environmental Specialist are provided in Attachment 2 to Annex 10.

3.4 Monitoring of the consultants carrying out design and supervision is to be effected by thePCU for solid waste, which will be housed at MMRA. The PCU will be composed of threefull-time professionals, one a solid waste management engineer, another a financial analyst, andthe third a town planner. This team will be strengthened by short-term assignments by expertsin various related fields, when necessary. A Technical Coordination Committee (TCC) madeup of representatives of CDR, MMRA, PMU and PCU monitors progress, coordinates amongthe various organizations, and advises management regarding budgeting and decision - making.All participating municipalities will delegate a senior member of their staff to liaise with MMRAand the PCU for SWM.

C. Operation and Maintenance

3.5 Administratively, Lebanon is divided into six governorates and 25 Cazas (districts).Municipal services are provided by the municipalities, which are overseen by the Kaimakam (theadministrative head of the Caza) and supervised by MMRA. Refuse collection is carried outeither by municipal workers or contracted out to the private sector. In many Cazas, municipalorganizations have formed associations and pooled their resources to attain an economy of scale.This arrangement has proven to be successful and will be extended to most Cazas. For example,in metropolitan Saida the municipal associations have the capacity to deliver an effective solid

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waste management service. At a later stage during implementation, efforts will be made tocreate municipal associations covering a whole govemorate in order to facilitate supportingactivities. It will be a condition of allocation of collection equipment to municipalities that theyeither enter into a contract with a competent firm for collection and disposal or show that theyare capable of performing the function themselves (para. 6.1).

3.6 After completion of each project component, a joint committee composed ofrepresentatives of CDR, MMRA, and the relevant municipal organization for the Caza wouldtake over the work and then hand it over to the municipality concerned. Before the civil war,municipalities were sufficiently staffed and organized to provide adequate services to theirinhabitants. Two municipal organizations that were not severely affected during the civil warhave been taken as models and analyzed. Their organization charts and budgets for 1993 areshown in Annex 1. With the exception of a general lack of adequate disposal systems, thesemunicipalities were able to raise the necessary revenues to provide adequate services.

D. Cost Recovery

3.7 In addition to solid waste collection and disposal, municipalities are responsible for streetpaving, sidewalks and parks, municipal police, stormwater drainage, abattoirs, etc., andwastewater collection and disposal until this last function is taken over during 1995-1996 by theRegional Water Supply and Sanitation Companies which are in process of being created. Notuntypically, the revenues of the municipalities are rarely of the user charges type and remainfungible. In the absence of cost accounting, it is currently impossible to match costs withrevenues. However, under the project, the cost of providing solid waste services has beenestimated (Para. 3.9). Furthermore, with the modernization of the accounting systems of themunicipalities (Para. 2.6 (c)), it will become easier to analyze costs and determine the need toadjust the various levies which make up the revenues of the municipalities. This should resultin enhanced transparency.

3.8 Recently, the revenues of the municipalities have been substantially increased by revisionof rental values and are expected to increase further as economic activity picks up and other taxbases grow (para. 1.4). The existing tax base would be sufficient to cover other municipalactivities plus part of the cost of the solid waste management service. It has been agreed tocreate a cost recovery system, which would initially be set at the equivalent of about 25 percentof the estimated cost of the collection and disposal of solid waste, and to commence collectionof charges within a year of starting the new solid waste service (para. 6.1). Supplementing theexisting charging system will not only contribute to the financial viability of the municipalitiesbut will also give the households a clearer price signal.

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E. Affordability

3.9 The annual household cost of service has been calculated for five representativemunicipalities, taking into account, capital costs including engineering studies and constructionsupervision, O&M, replacement cost, and debt service. The actual cost of service varies witheach municipality depending on the cost of land and other specific characteristics of eachmunicipality as follows:

Average Annual Cost per Household (US$)

Baalbeck 42.80Chouf 2 48.30Saida 34.55Tyre 55.20Zahle 35.60

3.10 The above figures are for collection and landfill systems. The alternative using compostplants, is justified by the lack of available landfill sites and the value of the compost produced,which could be used for both agriculture and pisciculture. The proposed cost recovery schemewould ensure that charges for solid waste service are affordable by all households. Through acombination of direct and indirect charges, the poor would benefit from a cross-subsidy whichwould result from factors such as population concentration, relative affluence, and number ofpersons per household. There are some 690 municipalities in Lebanon, of which the largest 15percent to 20 percent harbor roughly 80 percent to 85 percent of the total population. Theeconomic affluence of the larger agglomerations is in dire contrast with that of the smaller oneswhere many of the poor live. Irrespective of location, however, affluent households contributeproportionately more to the Municipal Fund because their rental values and their consumptionof services which form the bases for the revenues of the Municipal Fund are considerably higherthan those of the poor. Furthermore, because of lack of scale even where they join force toprovide service, small municipalities experience higher unit costs than large municipalities.Finally, the average number of persons per household is generally higher among the less affluentpopulation.

3.11 At present, the taxes making up the bulk of the revenues of the Municipal Fund areassessed and collected once a year, creating an additional hardship for the poor. A new costrecovery system is being developed which will be implemented one year after commencementof waste management services provided under the project. Collection equipment would not beallocated to municipalities until a satisfactory cost recovery plan has been prepared (para. 6.1).

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F. Accounting and Auditing

3.12 CDR will be the designated representative of the Borrower for withdrawing the proceedsof the World Bank loan. CDR will keep separate accounts for project expenditures inaccordance with internationally acceptable accounting principles and practices. These accountsand the Special Account would be audited annually by an independent auditor acceptable to theBank, and copies of the audited statements would be forwarded to the Bank within nine monthsof the end of the CDR's fiscal year. It has been agreed that: (a) CDR would maintain its overallaccounts in an appropriate format; (b) that these accounts would be audited annually byindependent and experienced auditors acceptable to the Bank; (c) that the auditors would, inaddition to the overall audit report for the CDR, prepare and submit a separate opinion on theaccuracy and appropriateness of the project accounts, SOEs and Special Account to bemaintained by the CDR; and (d) that the annual audit report and the report on the projectaccounts would be submitted to the Bank within nine months of the end of each fiscal year.

G. Project Action Plan

3.13 Annex 7 gives the proposed Action Plan for the project. The two most critical aspectsof the project are: (i) the timely acquisition of land for the sanitary landfills in the remainingCazas; and (ii) implementation of the cost recovery system.

IV. ENVIRONMENTAL ASSESSMENT

4.1 Environmental Review Process. While the proposed project is expected to have positiveenvironmental impacts by elimination of dumping of solid wastes at roadsides, at open seashoredumps, on vacant land and at uncontrolled dump sites, the possibility that some of itscomponents could have negative impacts if mismanaged caused it to be subject to a category Aenvironmental assessment according to World Bank Operational Directive 4.1. The impacts ofthese components and mitigation measures to be undertaken are described below.

Compost Plants at Saida and Zahle

4.2 Project Justification and Benefits. Composting plants were found to be the besttechnological and economic solutions to solid waste disposal problems for the Cazas of Saidaand Zahle for the following reasons:

(a) the existence of close-by agricultural lands makes it economically and technicallybeneficial for compost to be used for soil improvement;

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(b) the high proportion of humid (wet) organic matter (52 - 68%) enhances efficientcompost production and makes incineration technically and economical notfeasible;

(c) landfill volume requirements are greatly reduced (although the need for a landfillis not eliminated);

(d) the environment is safeguarded through the avoidance of nuisances such as odors,water table pollution, insect propagation, epidemic risks and aestheticappearances; and

(e) the sorting of recuperable material, namely, plastic, metal, aluminum cans andglass, encourages the establishment of recycling industries.

4.3 Potential Environmental Impacts. Despite its advantages, the establishment of acomposting plant may have negative impacts on the surroundings, including:

(a) the change in land use at the selected site from agricultural to a waste disposalsite; and

(b) the nuisance to the local population, including noise from plant operations andtruck traffic, generation of odors at the plant, dust and litter due to truck trafficand deterioration in roads due to heavy truck traffic. Environmental mitigationmeasures are presented in the Summary of Environmental Management Activities(Attachment 3 to Annex 10).

4.4 It is important to note that there are negligible effects of the composting plants on surfacewaters, groundwater, geological conditions at the site, fauna and flora, climate, touristattractions and archeological sites. This is mainly due to the appropriateness of the sitelocations, which were selected on the basis of absence of impact on the aforementioned criteriaas well as considerations of economy and efficiency and minimal nuisance to human settlements(see Attachment 8 of Annex 10).

4.5 Mitigation Measures. Mitigation measures to minimize the above-mentioned negativeimpacts were developed and a management plan for the application of these measures has beenestablished. These measures are based on past experience both in Lebanon and abroad.Accordingly, all non-constructed areas will be covered with lawn, and the whole compost plantwill be surrounded by trees. All circulation areas will have a high quality grade and sub-gradecapable of withstanding the traffic of heavy trucks and will be paved with washable anti-slidingmaterial. Odors will be controlled through a combination of efficient compost fermentationmanagement, covering of fermentation area and odor control equipment. The storage,fermentation and maturation areas will be covered. These areas will be equipped with fire

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extinguisher, fire hydrants and a basin for water storage. The noise pollution will be minimizedby implementing strict regulations for noise control of equipment, for speed limitation of trucksarriving and departing, and by establishing fixed opening and closing hours for the operation ofthe plant. The odor and litter problems will be reduced by placing a reception facility belowground level. As for the wastewater generated from the daily use of water, it will be disposedof in a septic tank of appropriate capacity. The composting plants will be complemented byadjacent sanitary landfills, built according to international standards, capable of handling all thenon-recyclable sorted refuse from the plants.

4.6 A summary of the proposed monitoring actions for the compost plants at Zahle and Saidais presented in Attachments 3 to 7 of Annex 10, with an identification of the responsible partyand the associated costs. The primary responsibility for monitoring will be with the compostplant operator, especially as to monitoring of odors, groundwater, surface water and quality ofthe compost produced. Laboratory equipment for chemical analysis is included in the project,but external laboratory facilities may also be used. Monitoring costs, which will be confirmedduring final design, are estimated to be of the order of US$40-80,000 per year of direct cost foreach compost plant operator, mostly for chemical laboratory analysis. It should be noted thatimportant measures would be undertaken to ensure that the operation of the compost plant meetsthe standards and objectives it was originally designed for, essentially the transformation of themunicipal waste into a useful product that can be marketed and used in agriculture. This goalcan be achieved by (i) ensuring a high quality compost that is suitable for use in the nearbyagricultural lands; (ii) undertaking a successful marketing campaign to increase people'sknowledge and awareness and to eliminate their reticence towards using a product generatedfrom waste; and (iii) ensuring a good coordination between the various agencies concerned bythe project, namely the Ministry of Municipal and Rural Affairs, the Ministry of theEnvironment, the Ministry of Agriculture, the municipalities involved, and other non-governmental organizations.

4.7 Environmental Management Activities. A summary of the major environmental impacts,and the agreed mitigation measures and monitoring actions, with approximate costs, is providedin Attachments 3 to 7 of Annex 10. The tender documents for the Saida and Zahle compostplants will require that bidders incorporate these measures into their proposals, includingprovision of sampling and laboratory equipment and estimates of annual monitoring costs.

Amrousiyeh Complex

4.8 Environmental Impacts. The EA of the Amrousiyeh Complex indicates that increasingthe capacity of the existing incinerator is not an environmentally sustainable solution for wastedisposal in the region of Western Beirut. As the organic (putrescible) materials represent 50-68percent (wet weight basis) of the waste with a high water content (62-81%), the existingincinerator furnaces require addition of fuel oil to attempt to generate complete combustion.Emission stack testing shows that there is still incomplete combustion, even under the best

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operating conditions with all parameters exceeding international norms. Black smoke, particulatematter and odors are common occurrences. The Amrousiyeh incinerator would not, therefore,be expanded.

4.9 Mitigation Measures. The proposed alternative to the incinerator expansion is theconstruction of a compost plant at the existing site and modernization of the existing furnacesat the incinerator, including an air pollution control system to meet international standards.Inefficient incineration of the wastes will be resolved by selective collection of wastes withhigher calorific value wastes and by use of the high calorific value waste separated at thecompost plant. This solution is an integrated solution that encourages reduction, reuse andrecycling of waste materials and also makes efficient use of the existing facilities at the site.The EA for the complex is being prepared and will be completed prior to Board presentation.The mitigation measures will be similar to those described above for the composting plants forSaida and Zahle, with the addition of appropriate measures for the incinerator, and a similardivision of environmental monitoring responsibilities (see Attachments 3 to 7 of Annex 10). Themonitoring costs at the Amrousiyeh complex may exceed the monitoring costs estimated for theother compost plants, as the incinerator will require regular air quality testing, estimated atUS$25,000 for each perfornance test, to ensure that the operator is in conformance with theEuropean Union air regulations. Total costs for monitoring may exceed $100,000 per year, atleast for the initial years, but are likely to diminish thereafter. The tender documents for thecomplex will require that bidders incorporate full environmental mitigation and monitoringmeasures into their proposals, including provision of sampling and laboratory equipment andestimates of annual monitoring costs. The environmental mitigation and monitoring measuresfor the Amrousiyeh Complex will be implemented by CDR.

4. 10 Guidelines for Selection and Design of Landfills. The selection of sites for landfillsin Lebanon is a difficult process due to the shortage of suitable sites in the rugged mountainousterrain, due to the disruption of effective municipal land use planning procedures during the civilwar and due to opposition to landfill sites from those in their vicinity. The "not in mybackyard" attitude to accepting landfills appears to be widespread among landowners and thepublic in Lebanon. A general set of criteria have been developed within the EA to: (a) assistin the selection of rational sites for landfills; and (b) define basic design principles for landfills.The criteria emphasize avoidance of sensitive environmental features, while taking into accountthe need for landfills to be located close to population centers so as to minimize transportdistances. The criteria are summarized in Attachment 8 to Annex 10. Once the sites will beidentified, and prior to their acquisition, a specific environmental assessment will be preparedfor each site (TOR available on file). These will systematically analyze three mainenvironmental aspects: (i) justification of site selection; (ii) results of the public consultationprocess; and (iii) site specific design criteria for enviromnental mitigation and protection. TheseEAs will be reviewed by CDR's environmental specialist and by the Bank to establish theadequacy of the proposed sites for use as landfills (see also paras. 2.17, 2.22 and 3.3). Thecosts of envirornental monitoring, which would be born by the operators, are expected to be

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similar to those for the compost plants. The tender documents for landfills will require thatbidders incorporate full environmental mitigation and monitoring measures into their proposals,including provision of sampling and laboratory equipment and estimates of annual monitoringcosts.

4.11 Hospital Wastes. Inventories of hospital waste were carried out for the Cazas of Saidaand Zahle, and for Western Beirut. These surveys are a first attempt to describe the types andquantities of hospital wastes generated in Lebanon. The survey results indicated that hospitalwastes represent a minor proportion of the overall waste production: less than 1 percent of dailywaste generation. Hospital wastes consist of mainly domestic wastes (from the kitchens, offices,general maintenance services), but infectious wastes (consisting of human tissue, blood andlaboratory wastes) can, in some hospitals, represent up to 50 percent, as is common in westernEurope. At two hospitals in Western Beirut, which are equipped with special incinerators,hazardous wastes are separated from domestic wastes through the use of colored plastic bags,but in other cases both types of hospital wastes are often co-mingled in collection and disposalwith the other municipal wastes, although some municipalities use separate collection anddisposal facilities. Under the project, a feasibility study and environmental assessment for thelocation and sizing of a central hospital wastes incinerator will be carried out and fundingprovided for the incinerator and the necessary collection vehicles. The EA will be reviewed byCDR's environmental specialist and by the Bank. As an interim measure, (i) systems similarto those in use in the Beirut hospitals described above will be established to separate potentiallyinfectious wastes from domestic wastes, (ii) collection staff will be trained in separate collectionof infectious wastes, and (iii) checks of incoming wastes at disposal areas will ensure that noinfectious bio-medical wastes enter compost plants.

4.12 Industrial Wastes. Inventories of industrial waste were carried out for the Cazas ofSaida and Zahle, and for Western Beirut. The inventories were compiled based on systematicinterviews with owners and managers of local industries. Industries surveyed include slaughterhouses, rendering plants, chicken and livestock production, tanneries, dye and textile mills, foodtransformation industries, vehicle repair garages and furniture plants. These surveys are a firstattempt to describe the types and quantities of industrial wastes generated in Lebanon, and theresults presented in the EAs show that: (i) the quantities are probably under-estimated; and (ii)existing disposal practices are basically haphazard, for example, disposal in rivers, on roadsidesin uncontrolled dumps, mixture with all other plant wastes or burning of used tires. Furtherstudies will be undertaken by MOE during project implementation to develop a plan to collectseparately and dispose of separately the various categories of industrial wastes. As an interimmeasure, collection contractors will be required by municipalities to refuse to collect waste fromindustrial plants, or any other waste suspected of containing hazardous substances. Similarly,operators of waste disposal sites will inspect all incoming wastes for hazardous substances.

4.13 Coastal Zone Management Plan. The first step in the preparation of the coastal zonemanagement plan (CZMP) will be a full assessment of the key coastal resources under threat by

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development pressures. A regional environmental assessment (REA, terms of reference availableon file) will provide a diagnostic of the present situation, and forecast the state of the coastalzone and its resources by the year 2010 under various investment scenarios. It will identify themain sources of environmental degradation, critical areas and emergency actions, in a studycorridor up to 16 km wide. This REA will be used for the preparation of land-use policies,which can lead to environmentally sustainable patterns. The consultant will commence work in1995.

V. PROJECT BENEFITS AND RISKS

A. Cost/Benefit Analysis

Project Benefits

5.1 The principal project benefits will be substantial improvement to the environment:cleaning up the accumulated refuse in urban areas and along the Mediterranean coast, improvingthe management of existing disposal sites, creating new ones, and adding composting plants,thereby eliminating unsanitary and improper piles of refuse from public areas. The actions tobe undertaken under the project will benefit the health of all Lebanese, particularly the lowerincome groups. They will also eliminate one of the major impediments to attracting foreignbusiness and tourism which are essential to the country's economic development. Thebeneficiaries include the entire population, many of which, for years, have been deprived ofadequate solid waste collection and disposal or did not get service at all in spite of paying someof the cost of service through various taxes and assessments. Additionally, the principalmunicipalities will receive training and other technical assistance, including the modernizationof their accounting and information systems (para. 2.6(c)), all of which will help to strengthenthem as institutions. Private sector participation in the solid-waste management business willbe encouraged through contracting to municipalities, which should increase efficiency byintroducing an element of competition. Employment generation will also be enhanced throughthe opportunities offered by presorting and increased recycling, particularly for lower incomegroups.

Least-Cost Solution

5.2 During project preparation, consultants analyzed the various options for collecting,processing and disposing of solid waste. The collection aspect was a choice between door-to-door collection and the placing of containers at convenient locations; the latter was selected forreasons of efficiency and affordability. For disposal, various alternatives, including landfills,composting and incineration were carefully analyzed. Based on the topography, populationconcentration, and the availability of suitable land, the alternative selected in each of the areasrepresents the optimal and least-cost solution (see Annex 8, "Affordable Solid WasteManagement Services").

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Incremental Costs and Benefits

5.3 The incremental costs for the Project consist of the project costs, including landacquisition, buildings and workshops, compactor trucks, containers, landfill equipment, compostplants, incinerators, and engineering services; the cost of eventual equipment replacement overa designated time period; and the additional recurrent costs required to operate the new facilitiesand equipment. These have been satisfactorily established.

5.4 Incremental benefits consist mainly of the favorable impact of the project on the country'senvironment and the health of the population, particularly in protecting its rivers and coastalwaters. Some of the waste material will be recovered and sold for recycling. Likewise, wherecomposting proves feasible, the compost will be sold to interested farmers. Benefits also includethe ability to service the country's entire urban population, and the virtual elimination ofunhealthy piles of refuse from populated neighborhoods and beaches. Finally, appropriatecollection and disposal of solid waste will enhance the aesthetic values of a country rich intouristic potential.

5.5 While incremental costs are known, incremental benefits cannot be quantified.Therefore, an economic internal rate of return has not been calculated for the project.

B. Project Risks

5.6 The main risks involved with the project are: (i) if suitable cost recovery mechanisms arenot put in place, the projected levels of service for collection and disposal will not be maintainednor improve upon existing conditions; and (ii) scarcity of land for sanitary landfills could makeit difficult to acquire sites and slow down project implementation.

5.7 An ongoing study is looking into the financial resources of the municipalities and will putforward recommendations for the improvement of the resource base of municipalities. Theproject provides for technical assistance to MMRA and the municipalities for modernization andstaff training. A detailed time-bound schedule for land acquisition was be agreed at negotiationsand a special fund for land acquisition has been activated by CDR to assist the municipalities inproviding land. Authorities directly involved with waste management, MMRA and themunicipalities, are convinced of the economic and environmental advantages of landfills.

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VI. AGREEMENTS REACHED AND RECOMMENDATION

6.1 The following assurances were obtained at negotiations and recorded in the Loandocuments:

(i) the rehabilitation plans of the old dumps will be reviewed by the Bank beforeimplementation to ensure environmentally acceptable solutions (para. 2.5);

(ii) a cofinancing agreement for the equivalent to US$55 million shall be signed withJapan or alternative sources of funding found (para. 2.8);

(iii) the Special Account and SOEs will be audited and separate opinions provided foreach in conjunction with the annual audit of CDR's accounts (para. 2.16);

(iv) the environmental mitigation and monitoring measures recommended for thecompost plants at Saida and Zahle will be implemented by CDR (para. 4.7 andAttachments 3 to 7 of Annex 10);

(v) the environmental mitigation and monitoring measures recommended for theAmrousiyeh complex will be implemented by CDR (para. 4.9);

(vi) preparation of future environmental assessments for all landfills and the hospitalincinerator will be the responsibility of CDR, the implementing agency; CDRwill: (a) continue to employ a senior environmental specialist to manage EAactivities; (b) obtain the Bank's no objection to each EA report prior to awardsof contracts for site development; (c) acquire environmentally acceptable sites asrecommended by each EA report and in accordance with the agreed timetable; (d)ensure that no sites will be acquired if involuntary resettlement is involved; and(e) ensure that the environmental mitigation and monitoring measuresrecommended in each EA are implemented by CDR (paras. 2.17, 2.22, 3.3, 4.9,4.10 and 4.11);

(vii) Conditions of allocation of collection equipment to participating municipalitieswill be: (a) acquisition of environmentally acceptable land for all landfills anddisposal plants and their transfer to the project (para. 2.22); (b) entering into acontract with a competent firm for collection and disposal or providing evidenceof their own capability to perform the function (paras. 2.28 & 3.5); and (c)presentation of an acceptable cost recovery program (para. 3.11); in those caseswhere CDR has acquired the landfills on an exceptional basis, CDR shall enterinto appropriate arrangements with private sector contractors and formulate costrecovery plans;

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(viii) CDR would submit: (a) semi-anniual progress reports within 30 days of the endof each semester; (b) the detailed report for the mid-term review by December31, 1998; and (c) the project implementation report and a plan for futureoperation of the project within six months after loan closing (para. 2.27);

(ix) a cost recovery system acceptable to the Bank will commence within one year ofstarting the new solid waste management service (para. 3.8); and

(x) (a) CDR would maintain its overall accounts in an appropriate format; (b) thatthese accounts would be audited annually by independent and experienced auditorsacceptable to the Bank; (c) that the auditors would, in addition to the overall auditreport for the CDR, prepare and submit a separate opinion on the accuracy andappropriateness of the project accounts, SOEs and Special Account to bemaintained by the CDR; and (d) that the annual audit report and the report on theproject accounts would be submitted to the Bank within nine months of the endof each fiscal year (para. 3.12).

6.2 Given the understandings reached under para. 6.1, Items i - x above, the proposed projectprovides a suitable basis for a Bank loan of US$55.0 million to the Lebanese Republic at theLBRD standard variable rate, with 17-year maturity, including 5 years of grace.

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LEBANESE REPUBLIC


LIST OF ANNEXES

1. Implementing AgenciesAttachment 1 - Council for Development and Reconstruction - Operational FunctionsAttachment 2 - Ministry of Municipal and Rural Affairs - Operational FunctionsAttachment 3 - Zahle Municipality - Organization ChartAttachment 4 - Jbeil Municipality - Organization Chart

2. Detailed Estimate of Project Components3. Implementation Schedule4. Project Supervision Forecast5. Technical Assistance6. Loan Disbursement Schedule7. Project Action Plan

Attachment - Development Impact Monitoring Indicators8. Affordable Solid Waste Management Services9. Timetable for Landfills EAs and Site Acquisition

10. Environmental Assessment Summary:Attachment 1 - Summary Description of Disposal FacilitiesAttachment 2 - Terms of Reference for Senior Environmental SpecialistAttachment 3 - Summary of Environmental Management ActivitiesAttachment 4 - Odor Monitoring Approach for Municipal Solid Waste Compost PlantsAttachment 5 - Guidelines for Groundwater Monitoring CriteriaAttachment 6 - Guidelines for Wastewater Effluent Monitoring CriteriaAttachment 7 - Guidelines for General Use Compost Quality for the Protection

of Public Health, Safety and the EnvironmentAttachment 8 - Summary of General Site Selection Criteria for Controlled

Sanitary Landfills11. Sector Development Policy Statement12. Staff Working Papers

Map: IBRD 26530

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ANNEX 1

LEBANESE REPUBLIC


IMPLEMENTING AGENCIES

1. Council for Development and Reconstruction

- Operational Functions

- Organization Chart

2. Ministry of Municipal and Rural Affairs

- Operational Functions


3. Municipality of Zahle


- Budget

4. Municipality of Jbeil


- Budget

- 34 -

Attachment 1 to ANNEX 1Page 1 of 5

LEBANESE REPUBLIC


COUNCIL FOR DEVELOPMENT AND RECONSTRUCTIONOPERATIONAL FUNCTIONS

Constitution

1. The Council for Development and Reconstruction (CDR) was established under theprovisions of Legislative Decree No. 5 on December 31, 1977, later modified by the provisionsof Law No. 117, dated December 7, 1991. It is a Public Institution with the status of a legalperson, autonomous financially and administratively and attached directly to the Council ofMinisters. In consultation and cooperation with the various Ministries, Public Institutions, andMunicipalities.

Duties

2. CDR is responsible for all development and reconstruction projects and carries out thefollowing duties:

Planning

(a) preparation of a general economic plan, follow-up plans and programs forReconstruction and Development;

(b) preparation of a draft budget for the implementation of the general plan;

(c) preparation of draft laws related to development and reconstruction; and

(d) preparation of the guidelines for town and regional planning.

Advisory

(a) advising the Government on economic and financial cooperation with othercountries and international agencies;

(b) communicating with other countries and international agencies regardingeconomic, technical, cultural and social assistance;

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(c) preparing and publishing statistics on economic and social activity;

(d) carrying out research activities in the field of development;

(e) reviewing development and reconstruction programs prepared by the variousministries and public institutions;

(f) providing information to ministries and public institutions; and

(g) advising on the creation of financial institutions and mixed companies involvedin development.

Executive

(a) preparing feasibility studies and designs for projects;

(b) carrying out the implementation of projects, superseding all ministries and publicinstitutions, except the Council of Ministers;

(c) carrying out the reconstruction of areas damaged by military operations; and

(d) establishing holding companies or councils for the expropriation of land necessaryfor public projects.

Financial

(a) financing any projects or programs referred to it for implementation;

(b) granting of loans to public institutions, municipalities or the private sector; and

(c) taking up of equity in companies, or the divestment of such shares.

Supervisory

(a) supervising or inspecting all projects assigned to it;

(b) overseeing the channeling of foreign aid towards their objectives; and

(c) ensuring that loans are utilized towards their development and reconstructionobjectives.

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Resources and Revenues

3. The resources and revenues of CDR consist of:

(a) budgetary allocations under the General Budget;

(b) amounts transferred to it, or taxes and fees created in its favor;

(c) loans;

(d) revenues from investments;

(e) revenues provided under special legal provisions; and

(f) Treasury advances.

Board of Directors

4. The management of CDR is entrusted to a Board of Directors comprising, at most, 12members, appointed by a decree of the Council of Ministers. Directors should be holders ofduly recognized university degrees. The decree also nominates a President, two Vice-Presidentsand a Secretary General, who become the Executive Directors. They shall be full-time officersof CDR.

5. Full-time members of the Board are nominated for periods of five years, while part-timemembers are appointed for three years. The services of part-time board members can beterminated at any time through a decision of the Council of Ministers. Full-time members ofthe Board can be terminated only through voluntary resignation, medical incapacity,incompetence, major error, or contravention of the legal provisions of the Decree establishingCDR.

6. The full-time members of the Board have no right to engage in any other activities exceptfor serving on the committees appointed by the Government or representing Lebanon ininternational seminars and conferences.

General Provisions

7. CDR includes a Government Commission within it, appointed by a decree of the Councilof Ministers, with terrns of reference and organization structure decreed by the Council ofMinisters.

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8. CDR will be subject to audit by the Central Audit Department in accordance withprovisions proposed by the CDR Board, discussed with the Audit Department and approved bythe Council of Ministers.

9. The internal bye-laws governing the operations of CDR, its organization structure, itscadres and the salaries and benefits of its staff as well as the powers and responsibilities ofBoard members are fixed by the Council of Ministers through decrees.

10. The internal operations of CDR and its various departments are fixed by the Board ofDirectors. The Board of Directors and the Officers of the Board can delegate some of theirpowers and responsibilities to subcommittees appointed by them for the purpose.

LEBANESE REPUBLIC

SOLID WASTE/ENVIRONMENTAL ENVIRONMENTAL PROJECT

COUNCIL FOR DEVELOPMENT AND RECONSTRUCTION - ORGANIZATION CHART

PRESIDENT

PRESIDENT'S OFFICE

___ - -ADVISORS

INTERNAL l_________L

AUDIT !_l_1BOARD OF DIRECTORS

COMMITTEES io

BOARD OFFICE

SECRETARIAT rrt

m~ rt(DU

nu1-0n m

rh Jrt

| ADMINISTRATION X | FINANCE XPROJECTS PROGRAMS

rto

Iz

- 39 -


LEBANESE REPUBLIC


MINISTRY OF MUNICIPAL AND RURAL AFFAIRS

Operational Functions

The Ministry was established under Law No. 197 dated February 18, 1993. Theoperational responsibilities of the various departments are shown below:

1. Responsibilities of the Ministry

1.1 Planning and carrying out studies aiming at the development of life in the localcommunities, increasing the involvement of citizens, and application of local laws andregulations with respect to municipalities, associations of municipalities, elders andcouncils of elders, especially with respect to:

(a) supervision of municipalities, associations of municipalities, and other localauthorities subject to its administrative, financial and technical control; andreview and approval of their decisions, in accordance with the existing rules andregulations; and

(b) ensuring of cooperation and cooperation of municipalities and associations ofmunicipalities (i) among themselves; (ii) with all public administrations andinstitutions; and (iii) regional and international organizations and municipalitiesin other countries.

1.2 Cooperating with institutions responsible for the revitalization of life in the villages andthe improvement of their standards.

1.3 Supervising the elders (Mukhtar) and councils of elders, and directing their work inaccordance with the law of elders and associations of elders.

2. Responsibilities of Departments

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2.1 Administration Department

The Administration Department is responsible for the following:

(a) Secretarial work, mail and correspondence;

(b) Personnel affairs of Regular Staff, Staff on Contract, and Staff on Daily Wages,administering their employment status and conditions of employment;

(c) Individual personnel files for all staff;

(d) Accounting;

(e) Legal and administrative reviews and rulings in legal matters, settlements andcomplaints;

(f) Periodic reports about the activities of the Ministry, in cooperation with otherdepartments;

(g) Control of stocks, stores and furnishings; and

(h) Filing, archives, and administration and storage of papers and documents.

2.1.1 Administration Unit

(a) Secretarial work, mail and correspondence;

(b) Prepare subject files and transfer them to concerned departments in the ministry;

(c) Prepare personnel files for staff and process appointments, promotions, leave,termination and disciplinary action;

(d) Receive complaints from citizens and refer them to the relevant agency forreview; and

(e) Maintain and keep stores and archives.

2.1.2 Accounting Unit

(a) Prepare annual budget based on proposals from individual departments;

- 41 -


(b) Prepare salaries, allowances, indemnities, rewards, and financial assistance, andpayment to beneficiaries;

(c) Keep accounts and budget records; and

(d) Prepare studies and bidding documents related to stocks and furnishings requiredby the departments of the Ministry.

2.1.3 Legal Unit

(a) Express legal opinions where required;

(b) Review cases and complaints brought up against MMRA and prepare necessaryreplies;

(c) Express legal opinions in matters related to municipalities or elders broughtto its attention;

(d) Express legal opinions in court cases against municipalities, associations ofmunicipalities, or elders, referred to it;

(e) Represent MMRA in committees of a legal nature and in land expropriationcommittees when necessary; and

(f) Prepare draft laws and regulations related to the activities of municipalities andelders.

2.2 Municipal and Rural Affairs Department

The Department of Municipal and Rural Affairs is responsible for the application of lawsand regulations related to municipalities, associations of municipalities, elders, and councils ofelders, especially with respect to:

(a) Review of decisions made by local authorities which are subject to the control ofMMRA, pending the issuing of appropriate decisions;

(b) Participate with other institutions and organizations for the revitalization ofvillages that do not have municipal councils; and

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(c) Cooperation and coordination with governors and district commissioners(Kaimakams) to prepare studies for the revitalization of villages and developmentof rural areas.

2.2.1 Municipal Affairs Unit

(a) Examination and review of decisions and formalities prepared by municipalitiesor associations of municipalities that require approval by the Minister, to facilitatetheir legal process;

(b) Prepare necessary studies to improve and develop municipal activities; and

(c) Cooperate with official administrations, and local, regional and internationalorganizations to improve municipal activities.

2.2.2 Rural Affairs Unit

(a) Supervision of elders and councils of elders;

(b) Develop activities of elders and councils of elders;

(c) Revitalize villages without municipal councils;

(d) Prepare studies to develop rural areas;

(e) Prepare projects for the distribution of Government assistance and contributionsto villages and prepare works programs that could be implemented through thecontributions and assistance; and

(f) Cooperate and coordinate with governorate councils on matters related to villages.

2.3 Municipal Project Department

The Muinicipal Projects Department is responsible for the following:

(a) Technical review of projects and works programs submitted by municipalities orassociations of municipalities;

(b) Preparation of studies (designs) for construction projects requested bymunicipalities or associations of municipalities;

- 43 -


(c) Supervision of projects being implemented by municipalities or associations ofmunicipalities, upon their request;

(d) Review of planning and expropriation proposals prepared by municipalities orassociations of municipalities;

(e) Supervision of solid waste management, when requested; and

(f) preparation of studies for municipal facilities, when required.

2.3.1 Design and Construction Unit

(a) Design of construction projects upon the request of municipalities or associationsof municipalities;

(b) Technical supervision of the various implementation phases of the projectsmentioned in para. a above;

(c) Preparation of the General Conditions of Contract and particular biddingdocuments for the procurement of municipal works and materials; and

(d) Supervision construction of projects implemented by municipalities or associationsof municipalities.

2.3.2 Planning and Expropriation Unit

(a) Preparation of master plans requested by municipalities or associations ofmunicipalities;

(b) Review of expropriation proposals by municipalities or associations ofmunicipalities, or preparation of expropriation files if requested;

(c) Planning of roads, public spaces, gardens or parks and preparation of relevantprojects, upon the request of municipalities, associations of municipalities, orvillages; and

(d) Review of proposals to remove land from public municipal property to privatemunicipal property.

- 44 -


2.3.3 Stores and Furnishings Unit

(a) Preparation of bidding documents for the procurement of municipal equipment,tools and furnishings, upon request; and

(b) Supervision of the maintenance of municipal furnishings upon request.

2.4 Control and Guidance Department

The Controi and Guidance Department is responsible for the following:

(a) Financial control of both legislative and executive bodies in the municipalities andassociations of municipalities, as well as the activities of staff and workers;

(b) Supervision of the activities of financial controllers; and

(c) Municipal guidance activities.

2.4.1 Administration Unit

(a) Secretarial and registration work for the Control and Guidance Department; and

(b) Preparation of documents and distribution of mail addressed to the Department.

2.4.2 Financial Control Unit

(a) Review and control of all financial activities carried out by the municipalities andassociations of municipalities;

(b) Supervision of the activities of financial controllers in carrying out their dutiesunder the provisions of Chapter Three of Decree No. 5595 dated September 22,1982 which defines the accounting procedures in municipalities and associationsof municipalities; and

(c) Investigation of complaints of a financial nature submitted to MMRA.

- 45 -


2.4.3 Municipal Guidance Unit

(a) Cooperation with the municipal councils and the councils of associations ofmunicipalities in the performance of their duties and rights;

(b) Guiding the administrations of municipalities and associations of municipalitiesin methods of improving performance and efficiency;

(c) Preparation of proposals to simplify municipal activities;

(d) Assisting municipalities and associations of municipalities in the organization orreorganization of their departments;

(e) Studying organization charts and lines of communication in municipalities andassociations of municipalities; and

(f) Preparation of standard forms for municipal documents.

2.5 Information Department

The Information Department is directly attached to the Director General and isresponsible for the following:

(a) Preparation of all statistical programs and studies for the Ministry;

(b) Carrying out of all analytical studies that aim at the development of the variousdepartments of MMRA and their activities; and

(c) Preparation of all statistical studies as well as the storage, coordination, andadaptation of information related to municipal councils, the councils ofassociations of municipalities, elders, councils of elders, and their activities,especially with relation to budgets, financial transactions, advances, loans,projects, and whatever has any connection with social and economic conditionsin towns and villages.

2.6 Independent Municipal Fund

The Independent Municipal Fund is attached to MMRA through the Director General.Its responsibilities are:

- 46 -


(a) Distribution of municipal funds in accordance with the stipulations of Decree No.1917 dated April 6, 1979.

3. Regional Departments and Divisions

A Department of Municipal and Rural Affairs will be established in each Governorate(except Beirut Governorate). and in each Caza (except the center of the governorate).

3.1 Governorates

The Department of Municipal and Rural Affairs in the Governorate will be responsiblefor the following:

(a) Supervision of the activities of municipalities, associations of municipalities,elders and councils of elders, as well as the review of proposals for therevitalization of villages within the governorate;

(b) Receipt and review of decisions and documents of municipalities and elders andsubmission of recommendations to the governor for approval in accordance withthe authority vested in him by the provisions of the Municipal Law No. 118 datedJune 30, 1977;

(c) Submission of periodic reports to the Central Administration concerningmunicipal and rural activities in the governorate; and

(d) Coordination and cooperation with the municipal Control and Guidanceauthorities.

3.2 Caza (District)

The Department of Municipal and Rural Affairs in the Caza will be responsible for thefollowing:

(a) Supervision of the activities of municipalities, associations of municipalities,elders and councils of elders, as well as the review of proposals for therevitalization of villages within the Caza;

(b) Receipt and review of decisions and documents of municipalities and elders andsubmission of recommendations to the Kaimakam for approval in accordance withthe authority vested in him by the provisions of the Municipal Law No. 118 datedJune 30. 1977;

- 47 -


(c) Submission of periodic reports to the head of the Department in the governorateconcerning municipal and rural activities in the Caza; and

(d) Coordination and cooperation with the municipal Control and Guidanceauthorities.

LEBANESE REPUBLIC

SOLID WASTE/ENVIRONMENTAL MANAGEMENT PYROJECT

MINISTRY OF MUNICIPALITIES AND RURAL AFFAIRS - ORGANIZATION CHART

H. E. THE MINISTER

[i "AMM II| DIRECTOR GENEPAL

_B IFORMiATION __ W'JiICWAL

STATISTICS DEARITIIT FUND

DIRECTORATE OF DIRECTORATE OF DIRtECTORATE OF DIRECTORATE OF DIRECTORATE OF

GOVEPWORATES ~~MUPNICIPAL ANDAMINSRTOMUIIAPOJCSOTOLGDAERURAL AFFAIRS

NORTH LEBANON MUNICIPAL AFFAIRS ADMINISTRATION DESIGN & CONSTRUCTION ADMINISTRATION

M OUNT LESANON RURAL AFFAIRS j FINANCE - ACCOUNTING | PLANNING & EXPROPRIATION | FINANCIAL &K AUDIT CONTROL|

rSOUTH LEBANON STORES & FURNISHINGS MUNICIPAL GUIDANCE

BEKAA NORTH LEBANON MOUNT LEBANON SOUTH LEBANON BEKAA 0Q rt

CASAS. CASAS: CASAS: CASAS: (D P

Akkar Aley Bent Jbeil Baslbeck nBatroun Baabda Hasbava HnmelBcharre Choul Jezzine Rachays

Koura Jbeil marj.youn West Bekaa C Tripoli KIesrouane Nabatiye Sahle Mh rt

Zgharta Metn SaidaSour

0

tri

LEBANESE REPUBLIC

SOUD WASTE/ENVIRONMENTAL MANAGEMENT PROJECT

ZAHLE MUNICIPALITY - ORGANIZATION CHART

MUNICIPAL COUNCIL

PRESIDENT

CE-PRESIDENT

SWERS HEALTH & VETERITIO FINANCE ENGINEERIG PBLIC LIB

FOREMANANSPECTOR PHYSICIAN DIRECTOR DIRECTOR DIRECTOR DIRECTORLABORERS 14) VETERINARIAN SECRETARIES /21 ACCOUNTANT SECRETARY LIBRARIANS (21

SECRETARIES (21 CLERK CASHIER SURVEYORASSISTANT NURSES (2) MESSENGER RECORDERS (31 INSPECTORTEMPORARY NURSES (41 COLLECTORS 141 PERMIT INSPECTORHEALTH INSPECTORS /41 LIGHTING INSPECTOR GENERAL WORKSMESSENGER STOREKEEPER INSPECTOR . rtOQ rtCLEANING INSPECTORS 131 CLERKS 121 WORKS INSPECTORS (61 ID lbDRIVERS (121 DRIVER FOREMANABATTOIR GUARD GARDENERS 121ABATTOIR ATTENDANT PARK ATTENDANTS 12) 0 (DCLEANING LABORERS (751 DRIVERS /21 th D

rt1Q

LEBANESE REPUBLIC


ZAHLE MUNICIPALITY - 1993 ACTUAL REVENUES AND EXPENDITURES

(In thousands of Lebanese Pounds)

REVENUES EXPENDITURES

FEES ADMINISTRATIVEBuilding Permits 213,720 Salaries and Wages of Staff 187,980Exemption from Garage 28,250 Special Allowance to Admin Staff 8,316Building Contraventions 59,966 Family Allowances 62,784Construction of Sewers and Sidewalks 5,043 Transport and Travel 6,517

Sub-Total 306,979 Medical Assistance to Staff 23,181Educational Assistance to Staff 40,117

TAXES Overtime Pay 4,886All 302,481 Entitlements to Employees 17,554 °

Social Assistance to employees 3,750INVESTMENTS Scholarships to Outstanding Students 1,000Interest on Bank Deposits 105,560 End of Service Indemnity 54,508

Uniforms for Workers 4,120PERMITS Allowances to Medical Committee 1,187Meeting Places 400 Allowances to Land Evaluation Committee 2,083Advertizing 3,406 Sub-Total 417,981Public Places 230Fuel Stores and Stations 100 PUBLIC WORKS EXPENDITURES P rtMotors of Industries 190 Refuse Collection Contract 260,000Classified Establishments 240 Public Sewers 120,000 3

Sub-Total 4,566 Construction of roads and Retaining Walls 150,000 °Miscellaneous Works 78,000 r

CENTRAL GOVERNMENT TRANSFERS Sub-Total 608,000 wTotal 626,684 rt

SURPLUS 320,288 oz

TOTAL REVENUES 1,346,269 TOTAL EXPENDITURES & SURPLUS 1,346,269

LEBANESE REPUBLIC


JBEIL MUNICIPALITY - ORGANIZATION CHART

MUNICIPAL COUNCIL

F PRESIDENT

SECRETARY GENERAL

ADMINISTRATION FINANCE POLICE ROADS & LIGHT HEALTH & CLEANING GARDENS

1 SECTION CHIEF 1 SECTION CHIEF 1 SECTION CHIEF 1 SUPERVISOR 1 ARMED SUPERVISOR 2 MAINTENANCE1 ASSISTANT 1 SECRETARY 3 TRAFFIC POLICEMEN ELECTRIC MAINT. 1 GUARD

4 COLLECTORS 1 SUPERVISOR 12 GARBAGE COLLECTORSWORKS 3 DRIVERS

4 ROAD WORKERS o n

03

1 TRUCK 3 TRUCKS 1 VEHICLE 3

0

X

LEBANASE REPUBLIC


JBEIL MUNICIPAUTY- 1992 ACTUAL REVENUES

(In Lebanese Pounds)

Ls taxe parpas dlnctemut pr Is municipalte Amnounts Lea taxe peumes par rEtat pour Is compte de toute Amountsbes Muunicpatis (Caks. Muluncipab f4nonoe)

Taxe sur la valeur loative pour lWs irnmeubles crhabatation 29,574,293Taxe sur Ia valeur locative pour le locaux canerciaux 22,293,983 Pan de souten au budget e la Municipalit 0Taxe sut les locaux de reunion et s clubs de paris 3,938,000 Put risarte sux projets d dvelo m 0 Taxes sur Ws annonces et sut occupation des biens publics 18.344.500Taxes sur les commerces at ls stations-servioes 910.000 Total du Chaplin 3 0Taxes sur les 6quipaments des htbissements industties casses 480,000Taxes sur Ies perrirs de construire 35,965,074 Las mwtta dives at *xceptlonnellasTaxes supplernntaires -caise de retraite des ingenieurs 0Taxes pour installation des egouts & trottirs 7,980,275 Aides, dons et legs 0Taxes sut les rapports & etudes techniques 895.000 Contraventions & intErts 3,223,642Taxes sur rabatage 6.900.000 Revenus des bins municpaux & baens Indivis et enae de.... 34,944.000 UTaxes sur Ws enchires 0 Surplus sur realisaion de travaux pour compte de tiers 0Taxes sur raxercice des commerces ambutants 0 Recettes sur exercies antnieurs 0Taxes profsskne 0 Prets d avances du Tr*wr 0Taxes sur vente an gros & demi-gros 0 Recetles non prtvues 0Taxes stir entries aux sites aich6ologiques 9,807,750 Retenues pour irdernits fin de service 0Taxes su renregistmeemnt des contat de location 0 Report* nouveau 26,118,743Taxes pour rentreten des egouts at tottblms 0Taxes ur ks nabns 78,000 Tatl du Chaplbe 4 64.286,385Taxe d reconstucbon 0

TCI ChapNe 1 135,166,875 Sommaire:

Las utes pewcu par lrEat ou We olcas Wutofwe Chapitre 1 135,186,875 >ou bee etbNlsoeet publts ou pain at verse" Chapitre 2 61,190,771 aq rtdlreceew a is municipallme Choptre 3 0 lb

Chapitre 4 64,286.385Wt osx plus-values 0 0 3Supplemrets suer coewunicatons at abonnemnts telephoniques 0 Total 260,644.031 ehSupp*lEnt ru u is valer de Is consonnation lebctrique 44,779,605 w Part de b Munidpalle de rimpkt sur le iwneubes bt 8,500.000PSt de Ms upalite de i Cahie auknome de rHabitt O rtPart dS bMu itp des rc de rote des eux poablas 7,911,168 0

Tatal du Chaplb 2 61,190,771X

LEBANESE REPUBLIC

SOUD WASTE/ENVIRONMENTAL MANAGEMENT PROJECT

JBEIL MUNICIPALITY- 1992 ACTUAL EXPENSES

(In Lebanes Poundle

Chaplin po ute Charge.amdsS Anfurft Chaplir qul: CharesdesswenlvsaAaides

500,000 Che9e itth, sids m nkwssrtux, fonibCN dwale 100,000Sai & dirvs 46.049.V5 Enuagermet an advil cikas. iscvos autisFoisritr, hvkls & miaux 929.885 s)¶fuen , aporke & sodaes 179,000Hotibm & £ wnrgm 996.000 B wn £ Xdpu, swish.aids macdee & bbloqus 0Loyer, dasbp, am & leckI 100,000 Aid am pi dee*ecln gin6raes9 & essocabonsagr6ses 0Graemioan. bonus, sNocabons derme, y eol Wsl dloGauu idicaiss at mcolae 31,637,717 Totl du Chiprs 4 279,000Aiances. tbrbs posisu, comnsakane tiiphoetqus &trngspslqu 53.082 Chapt chq: dcaes veeFris de diplano t sit de rnsport 14Aa,000

Rimping, MaiMs £ bSts 2,417.200TatalduChapll 1 81,752.,43 Tun &fuabruf. de pwc, 6oncNleo& hnomm

devacfts 0ChapNh de cag flqulpme h s & Tratm pm- mpy de 1bn 0

saS PM R isums 0Renm _lfmner prd b & defte Nance du Triswr ineret 0

Achet wdennin crnettlrnrul 0 Frkis mxcdss pu1-denIe 0 Atd & ertlan du mndue, cwnins, vo&r, cydes 13,475.415 Colsmn A Is Ca. Naknais de SicLat Sodae 0AdS & erVelWen Clquipent & mnedw daes 396.750 PwrdPaon A rUnion des MLsVlMt 2,000.000Enisbln de hmnmss, rodrem publice & jms 1i.449.000 Chw-gs _ecpflo 2,882,100Natg. kaoons lea inses, y conse, dplecarnenrs & Indennins de fin ds sOrvc 0

eWm des jouaes & besoins div 17,317,830Caitiat 13,922,360 Totl du C.pW. £ 7.079,300Enbuben de rMdiesg puMk & fri s crfictc 26,952,281Enisie des MoSe, 6gL. canaw. balos & dives 15.817.900 Chaptr sE: risevesEnirsin rfe de duilulbon Csau & abonnanrent 0Aurwance des kwnette. 6pipemnenb,. orloydA fLa 1,618,200 Riserves 5.000.000

0Tisi du Chapl 2 90,949.736

Tois d ChaplN 6 5,000,000

ch_pnr bob: dh dsp rp b de Sommaise:It >'

Conbbttlondlnsnsat 11.469.93 Chp 1 81.752.643 rth tun visou tidasa puMc 0 Chli 2 90,949,736

A hni tl _e visatra, dws igma, d s des Chaptre 3 12.355.983mrud prkq. e tiu 0 Chapltr 4 279,000Amomr depgn. p,mA a 8t.0 0 ChWa 5 7.079.300 Caneiudcn Etun ndnrA r twe. titn dtir twuptl, Ch0 6 0turn mardi LC. wrl cudl cas sprSipesrcmesrsnpPoOrs.& Ose pne dvr Total Expedius 197.418.82 Lcanti du ibjds 0 4hudnia tsuuprdn. denmMes&blnmt 0 Sps 63,227,369 t

0ToW deChapln) 12Z355,983 Total 260.644.031

LEBANESE REPUJLICCOUNCIL FOR DEVELOPMENT AND RECONSTRUCTION

PROPOSED SOLID WASTE/ENVIRONMENTAL MANAGEMENT PROJECTFabneuy 3, 1995

COMPACT. TRUCKS CONTAINERS LANDFILL/DEVELOP. LIF BUILDINGS LIF COMPACTORS

- ---- ---- - ------- _ ----- ----- . . ... ._. .. ...... . . . . . . ... ........... ------- --- - - -- - ----- ------ - ----- ------ .. . . .. ....... .. .. .. .. . ..

NO. OF UNITS NO. OF UNITS NO. OF UNITS NO. OF UNITS NO. OF UNITSNERP ERRP NEW NERP ERRP NEW NERP ERRP NEW NERP ERRP NEW NERP ERRP NEW

GOVERNORATE CAZA EST. DIST. PROJ. EST. DIST. PROJ. EST. DIST. PROJ. EST. DIST. PROJ. EST. DIST. PROJ.

GREATER BEIRUT 45 8 37 2200 440 1760 1 1 0 1 1 0 1 1 0-- - --- - - -- - - _-- - -. . . . . . . . . . . . . . .. . .. . -- -- .. . .. . . .. . . .. .. .. .... .. . . . .. ... . . . . . . . . . . . . . . . . . . . . .... . . .

Greater Beirut 45 8 37 2200 440 1760 1 1 0 1 1 0 1 1 0

NORTH LEBANON 57 18 39 1620 660 960 6 4 2 6 4 2 5 4 1-- -- -- -- -- -- -- -- -- -- . .. .. ... .... . . . .. . .. .. ... . . . . .. . . . . . . _**-....... ... . . . . .... . . . .... . . . .... . . . . . . . . . . . . . . .. . . . . . . . . . . . . . . . .

Akkar 13 4 9 420 200 220 1 1 0 1 1 0 1 1 0Batroun 6 2 4 160 80 80 1 1 0 1 1 0 1 1 0Bcharre 4 2 2 110 50 60 1 0 1 1 0 1 0 0 0Kourm 5 2 3 110 50 60 1 1 0 1 1 0 1 1 0Tripoli 23 6 17 650 200 450 1 1 0 1 1 0 1 1 0Zgharta 6 2 4 170 80 90 1 0 1 1 0 1 1 0 1

MOUNT LEBANON 67 22 45 1720 710 1010 8 4 4 8 4 4 8 4 4 1

Aiey 8 3 5 215 100 115 1 0 1 1 0 1 1 0 1 4-Baabda 7 3 4 130 60 70 1 0 1 1 0 1 1 0 1Choul 1 6 2 4 215 100 115 1 1 0 1 1 0 1 1 0 1Chouf 2 4 2 2 140 60 80 1 0 1 1 0 1 1 0 1Jbeil 1 6 2 4 132 60 72 1 1 0 1 1 0 1 1 0Jbeil 2 2 1 1 48 20 28 1 0 1 1 0 1 1 0 1Kesrousne 24 6 15 700 250 450 1 1 0 1 1 0 1 1 0Metn 10 3 7 140 60 80 1 1 0 1 1 0 1 1 0

SOUTH LEBANON 49 17 32 1390 550 840 7 2 5 7 2 5 5 2 3........................ ------ ----- ----- . . _........ .... .. ..... ....... ...... . . ........ ... . ..... ... ....... ..... .. . .. .... ........ ..... .....

Bent Jbeil 5 2 3 145 60 85 1 0 1 1 0 1 0 0 0Hasbaya 2 1 1 75 40 35 1 0 1 1 0 1 0 0 0Jezzine 5 2 3 145 60 85 1 0 1 1 0 1 1 0 1Marjayoun 4 2 2 83 40 43 1 0 1 1 0 1 1 0 1Nabatiye 8 3 5 240 100 140 1 0 1 1 0 1 1 0 1Saida 16 4 12 462 150 312 1 1 0 1 1 0 1 1 0Tyre 9 3 6 240 100 140 1 1 0 1 1 0 1 1 0

BEKAA 38 11 27 1070 440 630 6 2 4 6 2 4 6 2 4

Baalbeck 1 3 1 2 100 40 60 1 1 0 1 1 0 1 1 0 p, :>Baalbeck 2 10 2 a 290 120 170 1 0 1 1 0 1 1 0 1 rJ ZHermel 2 1 1 60 30 30 1 0 1 1 0 1 1 0 1Rachaya 3 1 2 75 40 35 1 0 1 1 0 1 1 0 1West Bekaa 6 2 4 145 60 85 1 0 1 1 0 1 1 0 1 0Zahle 14 4 10 400 150 250 1 1 0 1 1 0 1 1 0

TOTAL 256 76 180 8000 2800 5200 28 13 15 28 13 15 25 13 12

LEBANESE REPUJBLICCOUNCIL FOR DEVELOPMENT AND RECONSTRUCTION

PROPOSED SOLID WASTEIENVIRONMENTAL MANAGEMENT PROJECT

LIP BOWZERS LIP SITE TREATM. LIP WEIGHBRIOGES UPF CLOSE DUMPS ENGINEERING

NO. OF UNITS NO. OF UNITS NO. OF UNITS NO. OF UNITS NO. OF UNITSGOVERNORATE CAMA NERP ERRP NEW NERP ERAP NEW NERP ERRP NEW NERP ERRP NEW NERP ERRP NEW

EST. DIST. PROJ. EST. DIST. PROJ. EST. DIST. PROJ. EST. DIST. PROJ. EST. DIST. PROJ.

GREATER BEIRUT 4 2 2 1 1 0 1 1 0 1 1 0 1 1 0

Greater Beirut 4 2 2 1 1 C I I 0 1 1 0 1 1 0

NORTH LEBANON 6 4 2 5 4 1 5 4 1 6 4 2 6 4 2

.... . .. . . .. .. .. . ... . . . .A. . .. .-k- - - -- - - -- - - - - -1- -1. . . - - - --0- - - - - -1- - - - - --1 - - -- -- 1-- 1---0---1- 1-- -0- -- 1- 1-- -- - - 0

Akktrn 1 1 0 1 1 0 1 1 0 1 1 0 1 1 0

ficharre 1 0 1 0 0 0 0 0 0 1 0 1 1 0 1KCours 1 1 0 1 1 0 1 1 0 1 1 0 1 1 0 Tripoli 1 1 0 1 1 0 1 1 0 1 1 0 1 1 0Zgharta 1 0 1 1 0 1 1 1 0 1

MOUNT LEBANON 8 4 4 7 4 3 7 4 3 8 4 4 8 4 4

.. . .. - -- -- -- - -- - A l- - -- -- -1 - - - - -- - - - -- -0-- - - -1- - - - - - - --1- - -- - - -0- - --1 1.. .. 0- 1 - - -- - -1 - -- - -0 - - -- - -1- - 1 0-- -- - - 1

Bleyb 1 0 1 1 0 1 1 0 1 1 0 1 1 0 1Choafda 1 0 1 1 0 1 1 0 1 1 0 1 1 0Chouf21 1 0 1 1 0 1 1 0 1 1 0 1 1 0 1Choufl 1 1 0 1 1 0 1 1 0 1 1 0 1 1 0

JbeiI 2 1 0 1 0 0 0 0 0 0 1 0 1 1 0 1Kas,oumne 1 1 0 1 1 0 1 1 0 1 1 0 1 1 0Main 1 1 0 1 1 0 1 1 0 1 1 0 1 1 0

SOUTH LEBANON 5 2 3 5 2 3 5 2 3 7 2 5 7 2 5

BentJbeil 0 0 ~~~ ~ ~ ~ 0...... ........ ... ...... ... 0. 0... ...... ... 0 1 0 1.. 1.0.1

aSen bei 0 0 0 0 0 0 0 0 0 1 0 1 1 0 1Hasbiya 1 0 1 1 0 1 1 0 1 1 0 1 1 0 1MJrazzin 1 0 1 1 0 1 1 0 1 1 0 1 1 0 1Mabatiyou 1 0 1 1 0 1 1 0 1 1 0 1 1 0 1NSatiya 1I 0 1 1 0 1 1 0 1 1 0 1 1 0 Twod 1 1 0 1 1 0 1 1 0 1 1 0 1 1 0

BEKAA 6 2 4 6 2 4 6 2 4 6 2 4 6 2 4

Bearoecki1 1 1 0 1 1 0 1 1 0 1 1 0 1 1 0 OQ Z

Baalbeck 2 1 0 1 1 0 1 1 0 1 1 0 1 1 0 1 Hormal 1 0 1 1 0 1 1 0 I 1 0 1 1 0 1Rochaym 1 0 1 1 0 1 1 0 1 1 0 1 1 0 1 N

West Bekaa I 0 1 1 0 1 1 0 1 1 0 1 1 0 1 ~~~~~~~~~~~0WestOeke 1 0 1 1 0 1 1 0 1 1 0 1 1 0 1

TOTAL 29 14 15 24 13 11 24 13 11 28 13 15 28 13 15

- 56 - ANNEX 2

LEBANESE REPUBLIC Page 3 of 3

COUNCIL FOR DEVELOPMENT AND RECONSTRUCTION

PROPOSED SOLID WASTE/ENVIRONMENTAL MANAGEMENT PROJECT

SPECIAL EQUIPMENT

GOVERNORATE CAZA DESCRIPTION NO. OF UNITS

GREATER BEIRUT

Greater BeirutBowzers 2

Street Sweepers 4

Mechanical Shovels 4

Miscellaneous 2

NORTH LEBANON

Batroun Trailer Trucks 2

Miscellaneous 1

Koura Mechanical Shovels 1

Tripoli Mechanical Shovels 1

MOUNT LEBANON

Kesrouane Mechanical Shovels 1

Hospital Waste Trucks 2

Jbeil 1 Miscellaneous 3

SOUTH LEBANON

Saida Mechanical Shovels 1

TOTAL 24

- 57 - ANNEX 2Attachment 1

LEBANESE REPUBLIC


COST ESTIMATEWORLD BANK FINANCED COMPONENTS

ITEM NO. OF - (US$ '000)NO. DESCRIPTION UNITS LOCAL FOREIGN TOTAL

I CIVIL WORKS

1.1 Land Acquisition 15 7,000.00 0.00 7,000.001.2 Development of New Sites 15 2,000.00 4,000.00 6,000.001.3 Closure of Old Dumps 15 3,000.00 7,000.00 10,000.001.4 Buildings and Workshops 15 1,000.00 1,000.00 2,000.00

Sub-Total 13,000.00 12,000.00 25,000.00

2 GOODS AND EQUIPMENT

2.1 Compactor Trucks 180 1,400.00 13,000.00 14,400.002.2 Containers 5,200 500.00 1,200.00 1,700.002.3 Landfill Equipment 15 500.00 4,500.00 5,000.002.4 Special Equipment MISC. 250.00 2,250.00 2,500.00

Sub-Total 2,650.00 20,950.00 23,600.00

3 TECHNICAL ASSISTANCE

3.1 Coastal Zone Management LUMP SUM 500.00 4,500.00 5,000.003.2 Engineering Services MISC. 400.00 3,600.00 4,000.003.3 Technical Assistance & Training MISC. 200.00 1,800.00 2,000.00

Sub-Total 1,100.00 9,900.00 11,000.00

TOTAL BASE COST 16,750.00 42,850.00 59,600.00

4 CONTINGENCIES

4.1 Physical Contingencies 500.00 2,200.00 2,700.004.2 Price Contingencies 1,750.00 6,950.00 8,700.00

Total Contingencies 2,250.00 9,150.00 11,400.00

TOTAL COST 19,000.00 52,000.00 71,000.00

- 58 -

ANNEX 2Attachment 2

LEBANESE REPUBLIC


COST ESTIMATECOFINANCED COMPONENTS

ITEM NO. OF COST (US$ '000)NO. DESCRIPTION UNITS LOCAL FOREIGN TOTAL

1 DISPOSAL PLANTS1.1__aida C Plant - d 1400 ,.0 0.

1.1 Saida Compost Plant 200T/d 1 2,400.00 13,600.00 16,000.001.2 Zahle Compost Plant 200Tld 1 2,400.00 13,600.00 16,000.001.3 Amrousiye Compost Plant 25OT/d 1 2,700.00 15,300.00 18,000.001.4 Hospital Waste Incinerator 1 1,000.00 9,000.00 10,000.00

TOTAL BASE COST 8,500.00 51,500.00 60,000.00

2 CONTINGENCIES

Physical Contingencies 200.00 1,000.00 1,200.00Price Contingencies 300.00 2,500.00 2,800.00

Total Contingencies 500.00 3,500.00 4,000.00

TOTAL COST 9,000.00 55,000.00 64,000.00

-5 9-ANNEX 3

LEBANES E REPUBLICCOUNCIL FOR DEVELOPMENT AND RECONSTRUCTION

SOLID WASTE[ENVIRONMENTAL MANAGEMENT PROJECTIMPLEMENTATION SCHEDULE

1994 159 99 1997 199 19 2000 2001h*rn OUarO*ra~~~~~~~Cl On.9"9.. Q ..artu.,. Qure.OataeOatr __ o O."Onr.u __ amns.

N.. Sbq,ojantad Cornp-.ne 21 1 2 33 4 1 2 3 4 1 2 2 4 1 2 3 4 I 2 3

1.2 rDn-loo.*nt of N-o Landfills

1.3 Cloi.re of Old Duops

1.4 Elildinc san W.rkhslpo

2. GOODE AND EQUIPMENT2.1 Co'spactor T-uks

b. Pr.quelrfic.tron

3 cDISPOSAL ndLAntS mt -

2.1 Coot-atrPsnIioa 0TdaL En inaarmn Dasmon-b. Prq. uaiticatro- c.. Tsndori.g and Conrt,act Award

3.3 Co"fill MEnt at Amr h

3. !4o e Wagn stin ln.raig r

4. TECHNICA d ASSIS aNCE -r

3.1 CoapstalPlone Mo. Sdair2OnTdy

4 .Echin.cl rsmtnc D-ndTann

- 60 -

ANNEX 4

LEBANESE REPUBLIC


Project Supervision Forecast

Project implementation would take place over six years - starting in the second half ofFY1996 and completed in FY2002. The Bank would supervise the project three times a yearin the first two years and an average of twice a year in the last four years. The table belowgives the staffweeks estimated for the supervision effort and consists of staff/consultant inputsboth in the field and at headquarters.

Staffweeks in Fiscal YearSpecialist FY96 FY97 FY98 FY99 FY00 FY01 FY02 Total

Municipal Engineer 6 4 4 4 4 4 4 30

Financial Analyst 6 4 4 4 4 4 4 30

Environmental Expert 6 4 4 4 4 4 4 30

Composting Expert 3 3 3 4 4 - 2 19

Incineration Expert 4 4 2 - - - - 10

TOTAL 25 19 17 16 16 12 14 119

- 61 -ANNEX SPage 1 of 7

LEBANESE REPUBLIC



1. As indicated under Para. 2.6 of the SAR, three experts in municipal management willeach serve for a period of two years at MMRA to set up the various operational systems andtrain MMRA staff in SWM activities. In addition to their duties at MMRA, they will beresponsible for the setting up of similar systems at the principal municipalities, which are thecenters of their respective Cazas, and for training municipal staff in SWM. Their principalresponsibilities will be to: (i) set up adequate collection and disposal systems in the Cazas,including the planning of collection routes, periodicity of collection, and maintenance andservicing of collection equipment; (ii) set up a modern accounting system both at MMRA andthe municipalities, help computerize the accounting systems, and advise on achieving full costrecoverY; (iii) plan the location of collection bins, estimate the effect of waste collection onurban traffic, and maximize the utilization of the roads through proper scheduling of collection;(iv) introduce upstream sorting of the waste and advise on the possibilities of creating smallindustries based on recycled material; and (v) organize an educational campaign to teach citizensthe benefits of proper SWM.

2. The following paragraphs give the profiles of the three experts who will provide technicalassistance to MMRA. In addition to their duties at MMRA and the municipalities, the TechnicalAssistance Team (TAT) will coordinate project implementation with the PMU at CDR, whichwill also be strengthened under the project by the addition of a senior environmental specialistto assist in reviewing environmental assessments (see Annex 10.1 for TOR). Short term expertswould be available as necessary, particularly to provide assistance to municipalities on theirspecific needs. The Table below shows an estimate of the cost of technical assistance.

Cost Estimate of Technical Assistance (US$)

Item No. Description Unit Quantity Rate $ Total

1. Engineering Expert M/M 24 10,000 240,000

2. Financial Expert M/M 24 10,000 240,000

3. Planning Expert M/M 24 10,000 240,000

4. Training Municipality Staff M/M 75 2,000 150,000

5. Assistance to CDR M/M 24 10,000 240,000

6. Municipal Assistance M/M 24 10.000 240,000

7. Shorn-term Experts M/M 24 10,000 240,000

8. Equipment & Computers 200,000

9. Contingency 210.000

TOTAL

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ANNEX 5Page 2 of 7

3. Profile/Terms of Reference for Engineering Expert

Job Title: Municipal Engineering Expert

Qualifications/Experience: University degree equivalent in Mechanical or IndustrialEngineering. At least 10 years' experience in the management ofmunicipal waste management, fleet operation and maintenance.

Languages: Fluent in English and French - knowledge of Arabic desirable.

Duration of Contract: Two years, with three months' trial period.

Position: At MMRA, with visits to other Cazas.

Salary: Relative to experience and qualifications.

Starting Date: As shown in the Action Plan.

Responsibilities:

The Engineering Expert will be the TAT team leader and will report directly to theDirector General of MMRA. He will set up the work programs of the team, supervise itsactivities, coordinate with the SIU at MOE and the TCC at CDR, and visit the various Cazasto estimate their needs and develop technical assistance programs for them. His tasks generallywill include:

(a) reviewing and commenting on the engineering designs and bidding documentsprepared by consultants for all components of the project;

(b) reviewing MMRA's and municipalities' systems for procurement, operation,maintenance, collection and disposal and suggesting improvements to thosesystems;

(c) reviewing the collection and routing plans of municipalities, as well as thedeployment and utilization of equipment and suggesting improvements;

(d) monitoring productivity and efficiency and submitting proposals for theirimprovement to attain the agreed targets;

(e) advising on the number of staff required for operating both the collection anddisposal systems;

- 63 -ANNEX 5Page 3 of 7

(f) assisting in the on-the-job training of municipal and MMRA staff in SWMactivities;

(g) participating in the development of a suitable and equitable cost recovery systemfor SWM;

(h) directing the preparation of a publicity campaign to educate the public in thebenefits of proper SWM;

(i) collaborating with the municipal finance expert in the preparation of budgets andfiscal projections; and

(j) directing the preparation of monthly progress reports, quarterly achievementreports and six-monthly comprehensive reports showing the accomplishmentsTAT and its objectives for the next period.


4. Profile/Terms of Reference for Financial Expert

Job Title: Municipal Finance Expert

Qualifications/Experience: University degree equivalent in Business Administration,Municipal Accounting and Public Finance.

At least 10 years' experience in the management of a municipalorganization.






Responsibilities:

The municipal finance expert will be responsible for the modernization andcomputerization of the accounting systems at MMRA and the municipalities, within theframework of the Lebanese fiscal regulations.

His tasks generally will include:

(a) reviewing the financial resources of MMRA and the municipalities, studying theresults of the recently commissioned study for long-term strategy in the sector(aimed at the establishment of cost recovery for services);

(b) establishing separate accounts at the municipalities for the expenses and revenuesof the municipal waste collection and disposal systems;

(c) assisting in the preparation of the annual budget procedures of MMRA and themunicipalities;

(d) reviewing existing salary structures and advising on their modification orimprovement, within the framework of existing legislation;

(e) collaborating with the PMU, especially the Financial Expert within the PMU;


(f) assisting the Team Leader in carrying out his duties, especially the preparationof the financial portions of progress and periodic reports;

(g) assisting in the selection of office technological equipment and the training ofstaff at MMRA and the municipalities in their use and applications to the newaccounting systems; and

(h) carrying out any duties that may be assigned to him by the Team Leader.


5. Profile/Terms of Reference for Planning Expert

Job Title: Municipal Planning Expert

Qualifications/Experience: University degree equivalent in City Planning and UrbanTransport.

At least 10 years' experience in the planning solid waste collectionsystems and urban transport in a municipal organization.






Responsibilities:

The municipal planning expert will be responsible for providing assistance for theplanning of waste collection timetables, routes, traffic and street improvements to accommodatethe improved waste collection systems.

His tasks generally will include:

(a) assisting in the selection of environmentally acceptable landfill sites for eachcaza/municipality and assisting in the review of the environmental assessment foreach site;

(b) reviewing the collection routing systems proposed by various municipalities,within the framework of the traffic pattern of their cities, to advise on theirsuitability and necessary improvements;

(c) collaborating with the planning departments of MMRA and the municipalities withthe aim of introducing improvements to street layouts and traffic patterns with theaim of accommodating the increased number of collection vehicles and containers;

(d) cooperating with municipalities in the location of containers and the constructionof special niches or lay-byes for the placing of containers;


(e) assisting in the training of MMRA and municipal staff in matters related to cityplanning and urban transport;

(f) assisting the Team Leader and the Financial Expert in the preparation of monthlyprogress reports and periodic reports as required; and

(g) carrying out any duties that may be assigned to him by the Team Leader.

- 68 - ANNEX 6

LEBANESE REPUBLICSOLID WASTE/ENVIRONMENT MANAGEMENT PROJECT

Loan Disbursement Schedule(US$ Million)

Bank Fiscal Year Quarterly Cumulative DisbursementOuarter Ending Disbursements Disbursements as % of Total

FY 1996December 31, 1995 1.0 1.0 1.8March 31, 1996 0.8 1.8 3.3June 30, 1996 0.8 2.6 4.7

FY 1997September 30, 1996 1.1 3.7 6.7December 31, 1996 1.1 4.8 8.7March 31, 1997 2.2 7.0 12.7June 30, 1997 2.2 9.2 16.7





FY 2002September 30, 2001 0.8 54.2 98.5December 31, 2001 0.8 55.0 100.0

- 69 -

ANEX 7Page 1 of 2

LEBANESE REPUBLICSOLID WASTE/ENVIRONMENTAL MANAGEMENT PROJECT

Project Action Plan

Environmental hIpact Assessments

1. Sign consultancy contract for carrying out August 15, 1994 (done)EAs for the Saida and Zahle compost plantsand the Amrousiyeh incinerator

2. Submit summaries of EAs to the Bank October 10, 1994 (done)

3. Circulate summaries of EAs to the Board October 26, 1994 (done)

4. Recruit a Senior Environmental Specialist April 20, 1995 (done)

Study on Long-term Strategy

5. Sign contract for carrying out a study on October 15, 1994 (done)long-term strategy, including cost recovery

6. Submit draft recommendations of the study March 31, 1995 (done)to the Government and the Bank for review

7. Submit final report for cost recovery to April 3, 1995 (done)the Government and the Bank for review

Engineering Consultancies

8. Appoint consultants for the engineering June 30, 1995design and bidding documents for theAmrousiyeh compost plant

9. Appoint consultants for the finalization December 31, 1994 (done)of the bidding documents for the compactortrucks and containers

10. Sign the consultancy contract for the October 31, 1994 (done)engineering design of the second phaseof landfill developments

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ANNEX 7Page 2 of 2

11. Complete engineering design of landfills June 30, 1996

Physical Implementation

12. Complete land acquisition for Phase I March 30, 1995 (done)

13. Complete land acquisition for Phase II December 31, 1995

14. Complete prequalification of bidders March 15, 1995 (done)for the compactor trucks and containers

15. Complete prequalification of bidders, December 31, 1995receive bids and award contracts forthe compost plants and hospital wasteincinerator

16. Award construction contracts for all December 31, 1995landfills (through LCB)

Institutional Aspects

17. Reach agreement with Government on December 31, 1994 (done)the principles of cost recovery

18. Reach agreement with Government on March 31, 1995 (done)detailed timetable for achievement offull cost recovery


19. Appoint the three experts at MMRA June 30, 1995

20. Agree on the TORs for the preparation December 15, 1994 (done)of a Regional Environmental Assessment(REA) as the first phase of the CoastalZone Management (CZM) Plan

21. Appoint consultants for REA and start June 30, 1995work on the Plan

22. Complete preparation of the REA December 31, 1995

- 71 -

Attachment to ANNEX 7Page I of 5

LEBANESE REPUBLIC


DEVELOPMENT IMPACT MONITORING INDICATORS

The development impact monitoring indicators presented below provide an overview ofcriteria to measure the progress in project implementation and progress towards meeting themajor project objectives. The indicators are presented for each of the project's main components,and are intended to guide supervision missions on major milestones and targets to bechronologically achieved in meeting the major project objectives outlined in the Staff AppraisalReport. These development impact monitoring indicators will have to be continuously updatedduring project implementation. The indicators are applicable to the SW\EM facilities which willcomplete waste management facilities and institutional development for all 25 cazas, includingGreater Beirut. Indicators are presented for the following project components:

- Solid Waste Collection (24 cazas and Greater Beirut);

- Solid Waste Disposal Facilities (15 landfills, 2compost plants, 1 Amrousiyeh Complex for a total of18 disposal facilities);

- Hospital Waste Collection and Disposal System (1system);

- Closure of Old Dumpsites (Landfills) (15 olddumpsites);

- Coastal Zone Management Plan (1 plan);

- Cost Recovery (24 cazas and Greater Beirut); and

- Institutional Development (MMRA, CDR, MOE andCazas/Municipalities for a total of 4 majorinstitutional units).

- 72 -

Attachment to ANNEX 7Page 2 of 5

Project Component Unit 1995 1996 1997 1998 1999 2000

1. Solid Waste Collection

i. Engineering design and bid documents preparation:

(a) containers Containers 1700 3400 5200 5200 5200/5200

(b) compactor trucks Trucks 60 120 180 180 180/180

(c) bowzers Bowzers 5 10 15 15/15

(d) compactors Compactors 4 8 12 12/12

ii. Fulfillment of allocation conditions by caza:

(a) disposal site acquisition Site 10 18 18 18 18 18/18

(b) bid for private contractor or show Caza 5 10 15 20 25/25ability to operate by Caza/Municipality _

(c) cost recovery plan Caza 5 10 20 25 25/25

iii. Implementation Reports Caza 15 25 25/25

iv. Elimination of all stockpiles of solid waste in Caza 2 5 10 15 25/25vacant lots. in streets, along highways and rural roads,and general improvement in litter control in each Caza

11. Disposal Facilities

i. Preparation of an environmental assessment report Caza 13 18 18 18 18 18/18recommending one or more environmentally acceptablesites for approval by CDR and the Bank

ii. Acquisition or expropriation of disposal sites Caza 10 18 18 18 18 18/18

iii. Preparation of detailed engineering design for Caza 10 18 18 18 18/18each disposal facility, and of bid documents

iv. Award of a consiruction contract for each disposal Caza 8 13 18 18 18/18facility, and supervision of the construction work toensure compliance to construction specifications andenvironmental mitigation measures

v. Preparation of bid documents for operation by Caza 5 13 18 18 18/18private contractor or t-aining program for municipalemployees

vi. Selection of an nperator for each disposal facility Caza 5 13 18 18 18/18by a private contractor mr specialized training formunicipal employees, if operated by the municipality

vii. Commencement of operations for the landfill or Caza 8 13 18 18/18compost plant I _

- 73 3


Project Component Unit 1"5 19W6 17 1998 199 2000

viii. Adequacy of operations by assurance of daily Caza 8 13 18 18/18cover for landfills, high quality compost for compostplants, lack of odor problems for both, minimalmachinery maintenance and costs at both, andconformity to environmental monitoring plan

The overall goal is to achieve a disposal facility with Cazafew or no adverse impacts on health or theenvironment, that is sustainable with minimumoperational deficiencies due to proper maintenance andoperational practices

III. Hospital Waste CoDection and Disposal System =n = = =

i. Preparation of an environmental assessment EA 1(EA) report and feasibility study Feasibility

Report _

ii. Disposal site acquisition or expropriation Site 1 1 1 1 1/1

iii. Preparation of preliminary engineering for Report 1 I 1 1/1collection and disposal

iv. Final engineering and tender documents Tender 1 1 1 1/1

v. Construction contract Contract 1 1 I 1/1

vi. Report on operations including environmental Report I 1/1monitoring results

IV. Closure of Old Dump (Landfll) Sites

i. Preparation of preliminary engineering and Caza 15 15 15 15 15/15environmental permanent closure plan for all dump sitesin each Caza for review by CDR and the Bank; a keyissue is to assure the absence of toxic and hazardouswaste materials mixed with the municipal solid wastes

ii. Preparation of detailed engineering design for Caza 5 10 15 15/15each disposal facility, and of bid documents

iii. Temporary closure of old dump sites Caza 5 10 15 15/15

iv. Award of a construction contract for each Caza Caza 5 10 15 15/15for permanent closure of all sites, and supervision of theconstruction work to ensure compliance to constructionspecifications and environmental mitigation measures

v. Post construction inspection reports annually to Caza 5 10 15/15ensure lack of odor, gas and groundwater effectsthrough implementation of an environmental monitoringplan .__

The overall goal is to achieve permanent closure of each Cazaold dumpsite with no impacts on health or theenvironment

- 74 -


| Project Component |Unit 1995 1996 |1997 ] 1998 ] 1999 | 2000

V. Coastal Zone Management Plan

i. Award of regional environmental assessment EA Contract 1 I I I I 1/I(EA) contract

ii. Workshop and/ir mid-contract report with CZM I I I I 11Irecommendations for a CZM Strategy Strategy

iii. Preliminary discussions with CDR. MOE and Implemen- 1 1 1 1 1/1MMRA for a CZM implementation plan tation Plan _

iv. Final regional FA report Final EA I I 1 1 1/1

v. Implementation of legal and institutional CZM Plan 1 I 1/1structures for Coastal Zone Management Plan

Vl. Cost Recovery

i. Formula for cost recovery agreed Caza 5 10 20 25 25/25

ii. Administrative and legal procedures set up in Caza 5 10 20 25 25/25each Caza

iii. Training of personnel and necessary computer Caza 5 10 20 25 25125hardware and software purchased

iv. Costs and budgets for solid waste management Caza 5 10 20 25 25/25established for a 3-5 year horizon in each Caza withprovision for expansion of landfill sites and satisfactorymaintenance practices

v. Household invoice rate established and Caza 5 10 20 25 25/25approved by each Caza Govemnment and MMRA

vi. Invoices sent to households, and payments Caza 5 10 20 25/25received over first fiscal year

vii. Achievement of full cost recovery within three Caza 5 10/25fiscal years after distribution of collection vehicles ineach Caza

VII. Institutional Development _

L Recruitment of technical assistance experts to Experts 4 4 4 4 4 4/4MMRA and CDR

ii. Submission of progress reports specified in Reports 4 4 4 4 4/4TORs for each expert

iii. Completion of long-term strategy for Solid Strategy 1 I I I 1 1/1Waste Management and implementation of itsrecommendations

- 75 -


Project Component Unit 1995 1996 1997 1998 199 2000

iv. Demonstration of capacity to plan for continued Caza 5 8 20 25/25improvements in collection service and for additionallandfill capacity (new cells)

v. Preparation of a second solid 2nd Project 1 1/1waste/environmental management project to emphasizesthe 3R's (Reduce, Reuse, Recycle), hazardous wastemanagement, clean-up of toxic and hazardous sites,implementation of coastal zone improvement projects

vi. Institutional development will take place at CDR, Evaluation I 1/1MMRA, MOE and at the Caza (municipal) level. The Planoverall goal of the institutional development is toachieve an effective management of solid wastethroughout the Lebanese Republic in the short-term (3-5) years, and to develop human resources who can planand manage for continued long-term effectiveness of thecollection and disposal of solid waste

- 76 -

ANNEX 8Page 1 of 5

LEBANESE REPUBLIC


Affordable Solid Waste Management Services

INTRODUCTION

1. Income levels in Lebanon are significantly lower than they were before the outbreak ofwar - probably about one third of what they used to be in real terms (current estimates are ofaverage household incomes of US$400 per month based on a minimum wage of US$225 permonth). Yet, in many cases, expectations of service standards remain high, influenced by thepre-war standards. The objective of the project is to provide a level of service that is affordableto the majority of the population, so that households will be willing and able to pay for theservice provided, and hence ensure the sustainability of the project. The analysis that followssets out the rationale behind the proposed service levels and systems of collection and disposal.

COMPOSITION OF SOLID WASTE

2. Analysis of solid waste in Beirut and Tripoli carried out over the past two years showsit to have a high organic content, 60-70 percent, and hence a high moisture content whichrenders it on the whole unsuitable for incineration, but more suitable for composting. This isconfirmed by the difficulties encountered in operation of the incinerator at Amrousiyeh duringthe past year, where combustion has frequently been incomplete, with consequent pollution ofthe atmosphere. On many occasions it has been necessary to add fuel oil to achieve combustion.The solution proposed in the project to overcome these technical difficulties at Amrousiyeh isto construct a composting plant beside the incinerator and to sort the incoming waste, directingit to the most appropriate disposal system and so raising the calorific value of the waste divertedto the incinerator.

ALTERNATIVE COLLECTION SYSTEMS

3. During preparation of the ERRP, consideration was given to the choice between house-to-house collection and the placing of containers at convenient locations throughout urban areas.The latter proved to be the more cost effective procedure, being considerably more rapid andhence involving less capital and operating costs (US$25 per ton). Nevertheless it required thecooperation of the public to carry their garbage over a normally short distance to the container.The implementation of this system has proved effective in Beirut under the ERRP and itsextension to other urban areas is proposed under the project.

- 77 -

ANNE,X E

Page 2 of 5

SOLID WASTE COMPOSITION

TRIPOLI-1994 BEIRUT-1994

COMPOSITION COMPOSITION MOISTURE% % CONTENT 1/

CONSTITUENTS: %

Vegetable and Putrescible 58 53 76Paper and Cardboard 12 18 49Plastic 11 11 35Glass/China 1 9 3Metal 3 3 7Fabric 6 3 43Miscellaneous 10 3 11

TOTAL/AVERAGE 100 100 55

1 / Moisture content is available for Beirut only.

4. Another choice that is becoming increasingly widespread in many countries is the sortingof waste at the household level, primarily to assist recycling of waste for reuse andenvironmental protection purposes. This system requires more complex collection and disposalprocedures and a high degree of public participation. While it may become possible to introducesuch a system in Lebanon in the future, it will take time to develop public awareness of theadvantages of such a system and establish the facilities needed for its implementation. In themeantime, the priority is to establish a workable system throughout the country as rapidly aspossible. An exception is hospital waste which for obvious reasons needs to be separated atsource and for which separate facilities will be provided under the project.

5. Industrial and hazardous wastes from large plants are excluded from collection in thisproject, but it is acknowledged that there is still considerable mixing of household and industrialwastes in most small and medium sized industries. Strengthening of the legal framework andof enforcement capabilities is required to ensure full separation of industrial and hazardous

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ANNEX 8Page 3 of 5

wastes. Separate specialized collection and disposal facilities will have to be developed undera separate project, as these are much more expensive facilities to build and to operate.

ALTERNATIVE DISPOSAL SY'STEMS

6. Three alternative systems of disposal were analyzed during project preparation:

* sanitary landfills;* composting; and* incineration.

7. Each system of disposal has certain advantages and disadvantages in the context ofLebanon. Sanitary landfills, while cheap to construct and operate, suffer from scarcity ofappropriate sites - the mountainous terrain and high population density make it difficult to findlow cost sites adjacent to urban areas. Composting has acquired a bad reputation amongst thefarmer end users due to poor quality compost produced in the past, although better sorting andproduction control, already introduced at the Karantina compost plant under the ERRP, shouldeliminate this problem in future. Studies indicate that there is sufficient demand for compostingto be viable. Incineration appeared to be a possible option initially due to the availability ofindustrial sites for what is regarded as an industrial process, but its high investment andoperating costs make it unaffordable and hence unsustainable at this stage, apart fromenvironmental problems associated with air emissions and disposal of hazardous fly ash.

8. A further major constraint in Lebanon is the unwillingness of any caza to accept therefuse of another caza. This means that separate facilities have to be provided in each cazawithin its constraints, thus reducing choices and scope for economies of scale. For example, inBeirut land scarcity has resulted in disposal systems based on composting and incineration; inTripoli, the existing sanitary landfill will be rehabilitated, while the future choice betweenlandfills, composting and incineration, or a combination, is analyzed and debated, despiteavailable capacity at landfills in adjoining cazas.

9. Estimates of the costs of alternative disposal systems are summarized in the table below -they are based on recent consultants' reports for sanitary landfills (in Tripoli, Saida, Zahle,

Tyre and Baalbek). composting plants (in Beirut, Tripoli, Saida and Zahle), and incineration (inBeirut and Tripoli). Although these estimates are indicative of orders of magnitude only, theyare consistent with data available from other countries in the region (see, for example,"Municipal Solid Waste Management Study for the Mediterranean Region", a study preparedfor METAP by Cowiconsult in September, 1992).

- 79 -

ANNEX 8Page 4 of 5

COMPARATIVE DISPOSAL COSTS

LANDFILL COMPOSTING INCINERATION

CAPACITY (tons per day) 100 300 400

ANNUAL THROUGHPUTat 90% capacity (tons per year) 32850 98550 131400

TOTAL INVESTMENT COST($Mn) 1.5-3.0 16 45

Annual Costs:Amortization @ 10%/20yrs(US$ per ton) 5-10 20 40

Operation and Maintenance(US$ per ton) 10-15 15-20 25-35

Total Annual Amortization andOperating Costs (US$ per ton) 15-25 35-40 65-75

10. Sanitary Landfill costs will vary according to the price of land and the extent ofpreparation needed for the site. For example, in most of the proposed landfills a double layerof impermeabilization (impermeable geomembrane and impermeable clay layer) is proposed toensure effective protection against possible contamination of water resources; on coastal landfillsites, a dyke would be built to ensure against spilling of refuse into the sea; land prices aresignificantly lower in the Bekaa Valley than on the coastal zone. Overall costs of collection anddisposal would amount to US$40-50 per household per year, less than 1 % of average householdincome.

11. Composting represents a viable alternative method to landfill, particularly in agriculturalareas where there is potential demand from farmers, as in the Bekaa (Zahle), in the southerncoastal area (Saida and Tyre) and in the northern Akkar region (Tripoli). The costs shown inthe table take no account of revenue from sales (manure is currently priced at about US$30 per

- 80 -

ANNEX 8Page 5 of 5

ton. Even so, the combined costs of collection and disposal would be affordable at about US$60per household per year.

12. Incineration is a significantly more costly process, particularly in Lebanon, where thehigh technology is new and the high moisture content of the garbage makes it difficult to burn.For incineration to work in these circumstances, it would need to be combined with otherdisposal systems - composting and/or sanitary landfills - that can dispose of high moisturerefuse. Incineration would in any event require complementary landfill facilities to dispose ofresidues, which can represent up to 30% of total waste incinerated. In the future the relativedisadvantages of incineration may change, as the technology becomes absorbed, income levelsrise, the composition of the solid-waste changes and it becomes possible to reduce the costs byselling surplus power generated to the national grid. Then its use may become attractive on aselective basis to extend the life of scarce landfill volume capacity, despite its relatively highcapital and operating costs.

- 81 -

ANNEX 9

LEBANESE REPUBLIC


Timetable for Landfills EAs and Site Acquisition

l Date | Date Date DateActivity First 2 Cazas Next 5 Cazas Next 5 Cazas Last 3 Cazas

A. Submission of draft EAs for review by CDR and Done 31-July-95 31-Dec-95 31-March-96the Bank I

B. Finalize land acquisition Done 30-Nov-95 30-Apl-96 3 1-July-96

- 82 -

ANNEX 10Page 1 of 10


ENVIRONMIENTAL ASSESSMENT SUMMARY

1.00 Background

1.01 Lebanon, a prosperous upper middle-income country in the mid-70s, has been devastatedby 15 years of turmoil as a result of violent civil strife and military occupation. The civil warhad a severe impact on the socio-economic conditions in the country. Lebanon's per capitaincome, about US$1,900 in 1993, in real terms was only about half of the 1975 level, andincome inequalities have been accentuated. The total damage to physical assets during the warperiod was estimated by the United Nations at US$25 billion. Damage is both a direct resultof the war, as well as the accumulated effects of a near total disruption in capital investment andmaintenance.

1.02 Against this background, the Government of Lebanon has prepared a three-year NationalEmergency Reconstruction Program (NERP) which has recently been extended to the ten-yearHorizon 2000 program. The first five years of the Horizon 2000 include the NERP and totalapproximately US$5 billion (in constant 1992 prices).

The Solid Waste Management Sector

1.03 Solid waste collection and disposal services deteriorated greatly during the civil war.Refuse collection trucks and containers, often used as barricades during the fighting, weredestroyed. The remaining equipment has either lived beyond its effective life or prematurelydamaged because of lack of maintenance. Thus, refuse collection services deteriorated to thepoint where refuse collection became almost non-existent and solid waste was dumped on thestreets, vacant lots and the coastline, with frequent intermingling of hospital and other hazardouswastes.

1.04 Although Lebanon's physical features sometimes make it difficult to find sites for sanitarylandfills with suitably large capacity for refuse disposal, this is still the least cost and simplestmethod of disposal. Composting is also considered an appropriate technology for the disposalof large volumes of waste, particularly where there is a potential market for the product, asmarket studies (available on file) indicate for agricultural areas. Incineration is rarely a viableoption in Lebanon due to the substantial investment cost, high ratio of organic matter in therefuse, and the extremely high operating costs.

- 83 -


1.05 Refuse collection and disposal have always been the responsibility of the municipalauthorities. The service is funded, along with other municipal services, from the fungiblerevenues of the municipalities. These consist of: (i) a municipal tax equivalent to 11 percent ofthe imputed rental value of property, and the proceeds from land sales and construction permits,all of which are collected directly by the municipalities; and (ii) a share of certain revenues, suchas a 10 percent surcharge on telephone, electricity and water bills, and duties on imports, liquorand fuel, collected by the Central Government and distributed to the municipalities on the basisof population and the size of the previous budget, Beirut being limited to 60 percent of the totalunder the existing formula. In the past, municipalities were capable of providing adequate refusecollection services, although the development of sound disposal systems had only just startedwhen the civil war broke out. With time, the resource base of the municipalities was erodedbecause: (i) the Lebanese Pound has slid to about one-thousandth of its value in 1975; (ii)Lebanon, until July 1992, practiced absolute rent control, leaving revenues from the municipaltax frozen in terms of Lebanese Pounds; recently, however, rental values have increasedbetween 15- and 80- fold, according to the age of the property; (iii) there has been a drop in therevenues from electricity, water and telephones; however, the revenues from surcharges on theseservices are expected to increase substantially as the major service bottlenecks are removed withthe help of the NERP, and follow-on projects; and (iv) because of Central Govermmentbudgetary constraints, the share of the municipalities has not been paid from the Municipal Fundalthough transfers are expected to resume in the not too distant future. Pending resumption oftransfers from the Municipal Fund, the municipalities have to rely in part on ad-hoc advancesfrom the Central Government to meet priority needs. Government has recently undertaken astudy (funded by the Bank) for the development of a long-term strategy for solid-wastemanagement, anchored on the achievement of full cost recovery in the sector through theintroduction of direct user charges.

Environmental Management

1.06 One of the results of the civil war in Lebanon was the deterioration of public services,particularly water supply, waste water disposal, solid waste collection, power supply, and publictransport. The deterioration of solid waste services has created a severe risk to public healthand the environment due to: pollution of water sources and distribution systems; discharge ofwaste directly into the sea and into irrigation canals; scattered piles of solid waste throughoutthe country; mixing of hospital waste with domestic waste; and air pollution caused by burningof solid-waste. The situation has been further exacerbated by the lack of a country-wide landuse system which has led to haphazard expansion of dwellings on the sea coast, on fertileagricultural land and on sensitive natural ecosystems; pollution of surface waters andunderground aquifers caused by uncontrolled pumping to provide the new communities withrunning water; pouring of sewage into disused wells; widespread deforestation; destruction ofthe cultural heritage; and degradation of marine and coastal areas.

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1.07 The coastal zone has been particularly affected by these impacts, and is suffering severeenvironmental degradation. The destruction of the Central Business District (CBD) of Beirutand the separation of communities during 15 years of strife, led to the development of majorcommercial and industrial centers along the sea coast, which themselves triggered theconstruction of large housing settlements for employees. The sea coast from Tripoli in theNorth to Tyre in the South has become a continuous stretch of densely populated urbansettlements, many of which are lacking in services. In several areas along the coastline, solidwaste dumps and outfalls of untreated sewage pollute the sea, while emissions from traffic,power stations, cement plants and other industries, mostly using fuel of doubtful cleanliness,contribute to the atmospheric pollution.

1.08 Lebanon is in the process of preparing a comprehensive national framework forenvironmental protection. Recently, there have been several initiatives towards strengtheningthe recently created Ministry of Environment (MOE) to enable it to carry out its role of setting,monitoring and enforcing environmental standards. Assistance is being provided by theMediterranean Environment Technical Assistance Program (METAP) for the preparation of anational environmental strategy, which will identify the priorities for action and the policy,institutional and investment tools for their implementation. This will contribute to the definitionof the MOE long-term program and provide inputs to establish the broad institutional frameworkfor environmental management. The United Nations Development Programme (UNDP) isproviding a complementary program of technical assistance and training to MOE for the reviewand consolidation of environmental laws and regulations, institutional development, capacitybuilding for environmental assessment, and creation of public awareness and participationmechanisms. Although the enforcement of environmental regulations is feasible under theexisting legal framework, it is expected that actions will be accelerated when the revisedframework is approved by Parliament later in 1995. MOE has recently moved into newpremises, which will permit an expansion of staff from the present level of approximately 20people to the planned level of about 150 people.

1.09 The Council for Development and Reconstruction (CDR), which has the overallresponsibility for planning and coordination of investment programs, also needs strengtheningin its environmental review functions. In view of the need to integrate environmentalconsiderations at the earliest stage of the planning process, CDR will use the services of theEuropean Union (EU) funded Program Management Unit (PMU) to provide a seniorenvironmental expert to train CDR staff and to coordinate environmental review activities. Theexpert, who will be in post by March 31, 1995, will also coordinate the inclusion ofenvironmental mitigation and monitoring actions into the construction and operation of disposalsites.

- 85 - ANNEX 10Page 4 of 10

2.00 Project Description

2.01 Project Objectives. The main objectives of the project are to: (i) eliminate hazardousand unsightly dumping of solid-waste; (ii) improve methods of waste collection and disposal; (iii)improve cost recovery and modernize municipal accounting systems; (iv) improve the qualityand marketability of compost, through the introduction of sorting of the waste at the entranceto the compost plant; (v) increase the involvement of the private sector in solid wastemanagement; (vi) strengthen CDR and MMRA and the principal municipalities; and (vii) createinstruments for the more orderly planning and development of the Lebanese coastal zone.Basically, the project would complete the rehabilitation of the country's municipal solid-wastecollection and disposal systems as envisaged under the NERP and introduce a separate systemfor hospital waste.

2.02 Major Project Components. The project has four main components: (i) collectionequipment; (ii) landfill civil works; (iii) waste disposal facilities; (iv) technical assistanceincluding a coastal zone management plan.

2.03 Collection Equipment Component:

(a) Containers: These will be 5,200 in number, distributed across the country inaccordance with the estimated population densities. Of this total, 1,600 will bein galvanized steel of 1100 liters with covers for use in urban centers along thecoastline. The remaining 3,600 containers will be in painted steel of 1500 litercapacity.

(b) Compactor Trucks: The compactor trucks will be standardized at 10 cubic meterscapacity, as these are suited to the narrow streets of the major cities and winding,steep hills typically found in Lebanon. The project will finance 180 newcompactor trucks, and distribution will be in accordance with estimatedpopulation.

(c) Special Equipment: Where necessary, provision has been made in the project forthe procurement of special equipment. These include street sweeping andwashing equipment for Beirut and trailer trucks for the purpose of transportinglarge quantities of waste from transfer stations that will be built in cazas whereit is practically impossible to find land for a sanitary landfill.

2.04 Landfill Civil Works Component:

(a) Sanitary Landfills: The 15 landfills are being selected in accordance withapproved site selection criteria. Of the 13 landfills being financed under theERRP, the land has been acquired for 6 Cazas; the rest are still in the selection

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and evaluation process. Sites for landfills to be financed under the proposedproject will be selected on the basis of environmental assessments agreed by theexecuting agency and the Bank. The landfills will be located at suitable distancesfrom urban developments. The area will be sufficient to meet the needs of theCaza for 20 years. Each sanitary landfill will be enclosed with a suitable fenceto prevent encroachment by scavengers and stray animals. A guardhouse andweighbridge will be located at the entrance to each site, enabling access to becontrolled and the source of waste and its weight to be recorded. A suitablegarage on site will house all the equipment belonging to the Caza and will provideroutine maintenance services. An administration building will house the staff incharge of operating and maintaining both the landfill and the mobile equipment.Each site will be provided with the necessary earth-moving and compactingequipment. This will vary in quantity and size depending on the size of thelandfill and the volume of incoming waste. Generally, each site will be providedwith a mechanical shovel, a water tanker and a sheep's-foot type earth compactor.

(b) Closure and Rehabilitation of Old Uncontrolled Dumps: The old uncontrolleddumps in each of these cazas will be closed and rehabilitated. The rehabilitationwill be carried out in accordance with cost effective standards, and the designconcepts will be reviewed by the Bank.

2.05 Waste Disposal Facilities Component:

(a) Compost Plants: Two compost plants will be constructed; with one in Saida (200tons per day), and one in Zahle (200 tons per day). Before the waste enters theprocess cycle, large, hard lumps of debris will be separated and sorted out.Then, as the waste is conveyed towards a shredding/homogenizing drum,recyclable materials - glass, plastics, paper, cloth, and bones - will be manuallyseparated and dropped from special chutes to a compacting and baling unit forsale to manufacturing industries. Ferrous metals will be separated magnetically.The homogenized compost will be mechanically aerated and turned, thendeposited in windrows until maturation. This will result in the production ofhomogeneous, high-quality compost which can be marketed primarily to thefarming community.

(b) Amrousiyeh Complex: The original design of the incinerator at Amrousiyeh hadmade provision for a third furnace of 10 tons per hour incineration capacity.Experience with the existing furnaces has not been satisfactory because of thehigh moisture content of the waste. Fuel oil is now used to improve combustionand the air emissions consist of black smoke and other contaminants related to

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incomplete oxidation of the combustion gases. The Environmental Assessment(EA) report, now under preparation, has made preliminary recommendations thatthe incinerator capacity should not be expanded, and that a compost plant, similarto that described above (see (a) Compost Plants) be constructed. The alternativeproject concept, which has been adopted for this project, consists of a compostplant and use of the existing incinerator. The incinerator will be modernized toimprove the combustion process by (i) improved califoric value in the waste feedby selective collection of a minimum of 120 tones (metric) per day of waste fromhigher income neighborhoods, (ii) high calorific value sorted wastes from thecompost plant, and (iii) improved mechanical and control equipment. Theobjective is to meet the European Union Directive on Municipal WasteIncineration Plants (89/429/EEC - OJ L203, 15 July 1989).

(c) Incinerator for Hospital Waste: An appropriately designed incinerator will beconstructed for the disposal of hospital waste from hospitals throughout Lebanon.Its precise location and capacity will be determined by feasibility andenvironmental studies to be undertaken during project implementationAppropriate transport will be procured to transport hospital waste to theincinerator.

2.06 Technical Assistance Component:

(a) Coastal Zone Management (CZM) Plan: This component aims at creating theinstruments and building the institutional capacities for the physical planning andmonitoring of the coastal zone development, in order to improve environmentalconditions and prevent further degradation. Its outputs would include: (i)preparing a regional environmental assessment which will identify the cumulativepressures and impacts of the coastal zone development under different investmentscenarios; (ii) establishing a GIS system for physical planning and monitoring ofthe coastal zone development for use by CDR, MMRA and the municipalities;(iii) preparing a coastal zone management plan to be approved and legally bindingon all future developments on the coast; and (iv) initiating the implementation ofemergency actions to protect and/or rehabilitate coastal resources. The coastalzone management plan will include: a) a strategy for the allocation of coastal andmarine resources, defining areas to be conserved and protected and policies forzoning and development of economic activities in the coast; b) a regulatory needsassessment and preparation of draft guidelines, rules and regulations for controlof activities on the coast; and c) mechanisms for recurrent funding to supportCZM activities and encourage public/private partnership.

(b) Engineering Services: The designs of compactor trucks, containers, and landfillshave been completed, or are in the process of being completed, under the ERRP.

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Engineering services will be needed for assistance to CDR in bid evaluation, andsupervision of construction. Full engineering services will be provided for the(i) design and construction supervision of the two compost plants in Saida andZahle; (ii) design and construction of the Amrousiyeh Complex, and (iii) designand construction supervision for the collection and incineration of hospital waste.

(c) Institutional Technical Assistance and Training: As CDR, MOE and MMRA arenewly established institutions, their staff requires training in the development andimplementation of their responsibilities. MOE is already receiving technicalassistance from UNDP for institutional development over the mid to long term.In the short term CDR will receive immediate strengthening to review andmanage enviromnental assessments for the project components of landfills,hospital waste incinerator and the Amrousiyeh Complex. As the implementingagency, CDR will be responsible for these environmental assessments (EAs), andthe Bank will review all EA reports. The termns of reference for a seniorenvironmental specialist are presented in Annex 2. The project will providesupplementary assistance to MMRA, by recruiting three international experts whowill each serve for two years, providing technical assistance and on-the-jobtraining of MMRA staff on solid waste and municipal management. Finally, theproject would provide for the training of technical staff from MMRA and themunicipalities.

3.00 Environmental Aspects

3.01 Environmental Review Process: While the proposed project is expected to havepositive environmental impacts by elimination of indiscriminate dumping of solid wastes atroadsides, at open seashore dumps, on vacant land and at uncontrolled dump sites, the possibilitythat some of its components could have negative impacts if mismanaged caused it to be subjectto a category A environmental assessment according to World Bank Operational Directive 4.01.The impacts of these components and mitigation measures to be undertaken are described below.

Compost Plants at Saida and Zahle

3.02 Project Justification and Benefits: Composting plants were found to be the besttechnological and economic solutions to solid waste disposal problems fore the Cazas of Saidaand Zahle for the following reasons:

(a) the existence of close-by agricultural lands makes it economically and technicallybeneficial for compost to be used for soil improvement;

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(b) the high proportion of humid (wet) organic matter (52% - 68%) enhancesefficient compost production and makes incineration technically and economicalnot feasible;

(c) landfill volume requirements are greatly reduced (although the need for alandfill is not eliminated);

(d) the environment is safeguarded through the avoidance of nuisances such as odors,water table pollution, insect propagation, epidemic risks and aestheticappearances; and

(e) the sorting of recuperable material namely plastic, metal, aluminum cans andglass encourages the establishment of recycling industries.

3.03 Potential Environmental Impacts: Despite its advantages, the establishment of acomposting plant may have negative impacts on the surroundings, including:

(a) the change in land use at the selected site from agricultural to a waste disposalsite; and

(b) the nuisance to the local population, including noise from plant operations andtruck traffic, generation of odors at the plant, dust and litter due to truck trafficand deterioration in roads due to heavy truck traffic.

It is important to note that there are negligible effects of the composting plants on surfacewaters, groundwater, geological conditions at the site, fauna and flora, climate, touristattractions and archeological sites. This is mainly due to the appropriateness of the sitelocations.

3.04 Mitigation Measures. Mitigation measures to minimize the above mentioned negativeimpacts were developed and a management plan for the application of these measures has beenestablished. These measures are based on past experience both in Lebanon and abroad.Accordingly, all non constructed areas will be covered with lawn, and the whole compost plantwill be surrounded by trees. All circulation areas will have a high quality grade and sub-gradecapable of withstanding the traffic of heavy trucks and will be paved with washable anti-slidingmaterial. The storage, fermentation and maturation areas will be covered. These areas will beequipped with fire extinguishers, fire hydrants and a basin for water storage. The noisepollution will be minimized by implementing strict regulations for noise control of equipment,for speed limitation of trucks arriving and departing, and by establishing fixed opening andclosing hours for the operation of the plant. The odor and litter problems will be reduced byplacing a reception facility below ground level. As for the wastewater generated from the dailyuse of water, it will be treated in a septic tank of appropriate capacity. The composting plants

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will be complemented by adjacent sanitary landfills, built according to international standards,capable of handling all the non-recyclable sorted refuse from the plants. It should be noted thatimportant measures would be undertaken to ensure that the operation of the compost plant meetsthe standards and objectives it was originally designed for, essentially the transformation of themunicipal waste into a useful product that can be marketed and used in agriculture. This goalcan be achieved by (i) ensuring a high quality compost that is suitable for use in the nearbyagricultural lands; (ii) undertaking a successful marketing campaign to increase people'sknowledge and awareness and to eliminate their reticence towards using a product generatedfrom waste; and (iii) ensuring a good coordination between the various agencies concerned bythe project, namely the Ministry of the Environment, the Ministry of Agriculture, the GreenPlan, the municipalities involved, and other non-governmental organizations.

Amrousiyeh Complex

3.05 Environmental Impacts. Increasing the capacity of the existing Amrousiyehincinerator is not an environmentally sustainable solution for waste disposal in the region ofwestern Beirut. As the organic (putrescible) materials represent 50-68% (wet weight basis) ofthe waste with a high water content (62-81 %), the existing incinerator oven requires addition offuel oil to assist in combustion. Emission stack testing shows that there is still incompletecombustion, and black smoke, particulate matter and odors are common occurrences. TheAmrousiyeh incinerator would not, therefore, be expanded.

3.06 Mitigation Measures. The proposed alternative for the incinerator expansion is theconstruction of a compost plant at the existing site and modernization of the existing ovens atthe incinerator, so as to meet European Union standards. Inefficient incineration of the wasteswill be resolved by selective collection of wastes with higher calorific value, by use of the highcalorific value sorted waste generated by the compost plant and\or by use of compost from thecomposting plant. This solution is an integrated solution that encourages reduction, reuse andrecycling of waste materials and also makes efficient use of the existing facilities at the site.The mitigation measures to be implemented for the composting plant will be similar to thosedescribed above for the composting plants at Saida and Zahle.

3.07 General Site Selection Criteria for Landfills. The selection of sites for landfills inLebanon is a difficult process due to the lack of suitable sites in the rugged mountainous terrain,due to the disruption of effective municipal land use planning procedures during the civil warand due to opposition to landfill sites from those in their vicinity. The "not in my backyard"attitude to accepting landfills appears to be widespread among landowners and the public inLebanon. A general set of criteria have been developed to: a) assist in the selection of rationalsites for landfills and b) define basic design principles for landfills. The criteria emphasizeavoidance of sensitive environmental features, while taking into account the need for landfillslocated close to all population centers to minimize transport distances, and are summarized inAttachment 8. An environmental assessment (EA) report recommending one or several

- 91 -


environmentally acceptable sites will be prepared for each caza by CDR, and the EA report willbe reviewed by the Bank. The EAs will systematically analyze three main environmentalaspects: (i) justification of site selection; (ii) results of the public consultation process; (iii) sitespecific design criteria for environmental mitigation and protection.

3.08 Hospital Wastes. Inventories of hospital waste were carried out for the cazas of Saidaand Zahle, and for western Beirut. These surveys are a first attempt to describe the types andquantities of hospital wastes generated in Lebanon. The survey results indicated that hospitalwastes represent a minor proportion of the overall waste production: less than 1 % of daily wastegeneration. The hospitals wastes consist of mainly domestic wastes (from the kitchens, offices,general maintenance services) but infectious wastes (consisting of human tissue, blood andlaboratory wastes) can represent up to 50%, as is common in western Europe. Presently boththese types of hospital wastes are co-mingled in collection and disposal with the other municipalwastes. The only exception occurs at two hospitals in western Beirut which are equipped withspecial incinerators. Under the project, a feasibility study and environmental assessment for thelocation and sizing of a central hospital wastes incinerator will be carried out and fundingprovided for the incinerator and the necessary collection vehicles.

3.09 Industrial Wastes. Inventories of industrial waste were carried out for the cazas ofSaida and Zahle, and for western Beirut. The inventories were compiled based on systematicinterviews with owners and managers of local industries. Industries surveyed include slaughterhouses, rendering plants, chicken and livestock production, tanneries, dye and textile mills, foodtransformation industries, vehicle repair garages and furniture plants. These surveys are a firstattempt to describe the types and quantities of industrial wastes generated in Lebanon, and theresults presented in the EAs show that: i) the quantities are probably underestimated; ii) existingdisposal practices are basically haphazard, for example disposal in rivers, on roadside inuncontrolled dumps, mixture with all other plant wastes or burning of used tires. Further workwill be undertaken to develop a plan, to be financed by the ERRP, so as to separately collectand to separately dispose of the various categories of industrial wastes.

3.10 Coastal Zone Management Plan. The first step in the preparation of the coastal zonemanagement (CZM) plan will be a full assessment of the key coastal resources under threat bydevelopment pressures. A regional environmental assessment (REA) will provide a diagnosticof the present situation, and forecast the state of the coastal zone and its resources by the year2010 under various investment scenarios. It will identify the main sources of environmentaldegradation, critical areas and emergency actions, in a study corridor 16 km wide. This REAwill be used for the preparation of land-use policies which can lead to environmentallysustainable patterns. The consultant will commence work early in 1995.

- 92 -

Attachment 1 to ANNEX 10


Summary Description of Disposal Facilities

GOVERNORATE SITE LAND LOAN DISPOSALCAZA SELECTION OWNERSHIP FINANCING FACILITY

GREATER BEIRUT:Greater Beirut yes G/P SWIEM Amrousiyeh ComplexGreater Beirut yes G ERRP Karantina Compost Plant

(Modernization)Greater Beirut no - ERRP LandfillGreater Beirut yes G nil Dora LandfilGreater Beirut yes G nil Normandie Landftil

NORTH LEBANON:Akkar no P ERRP LandfillBatroun no P ERRP LandfillBcharre no P SWIEM LandfillKoura no P ERRP LandfillTripoli yes G ERRP LandfillZgharsa no P SW/EM Landfill

MOUNT LEBANON:Aley no P SWIEM Landfillhaabda no p SW/EM LandfillChouf I yes P ERRP LandfillChouf 2 yes G SWIEM LandfillJbeil I no P ERRP LandfillJbeil 2 no P SWIEM LandfillKesrouane no P ERRP LandfillMetn no P ERRP Landfill

SOUTH LEBANON:Bent Jbeil yes P SWIEM LandfillHasybaya no P SW/EM LandfillJezzine yes P SW/EM LandfillMarjayoun no P SWIEM LandfillNabatiye no P SWIEM LandfillSaida yes P ERRP and Landfill and Compost Plant

SW/EMSour (Tyre) yes G ERRP Landfill

BEKAA:Baalbeck I yes P ERRP LandfillBaalbeck 2 no P SW/EM LandfillHermel no P SW/EM LandfillRachaya no P SWIEM LandfillWest Bekaa no P SW/EM LandfillZahle yes P ERRP and Landfill and Compost Plant

SW/EM

Hospital Incinerator(s): no - SW/EM Hospital lncinerator

Notes: G - Govenriem land Ownershipp - Private Land OwnershipERRP - Emergency Recostruction u RehabilaliKn LoanSW/EM - Solid Wae J EIrivnial Manauaicrt Loan

- 93 -


LEBANESE REPUBLIC


Terms of Reference for Senior Environmental Specialist

Job Title: Senior Environmental Specialist

Qualifications/Experience: University Degree in Natural, Environmental or AppliedSciences with specialization in Environmental Planningand/or Environmental Assessment preferably at the Masterslevel. At least 10 years experience in planning and designof infrastructure projects, with project managementexperience of coordination of environmental and engineeringconsultants, and liaison work with the public, municipalities,government agencies and international financial institutions.

Languages: Fluent in French or English, with good working knowledgeof the other (knowledge of Arabic also an advantage).

Duration of Contract: Variable; as this is to become a permanent position a shortterm contract (6 months) may be acceptable to initiate thework, followed by a 18-24 month duration contract by sameor different person (latter would involve a 3 month trialperiod).

Salary: Relative to experience and qualifications

Starting Date: Prior to April 20, 1995

Responsibilities:

The Senior Environmental Specialist will work initially as part of the forward planning forthe selection of solid waste disposal sites for a solid waste/compost incinerator complex,approximately 20 landfills, and hospital waste incinerator. He will work within the ProjectManagement Unit (PMU) at the Council for Redevelopment and Construction (CDR) of the

- 94 -


Government of Lebanon, and will coordinate with staff at other government agencies, suchas the Ministry of Municipal and Rural Affairs, at Municipalities, Ministry of Agriculture,Ministry of the Environment and other relevant agencies.

His tasks will include:

1. Preparing tenns of reference for Environmental Assessment (EA) report for disposalfacilities (where this has not already been done), and ensuring that one or moreenvironmentally acceptable sites are recommended by the EA report.

2. Managing and monitoring the quality and administrative matters related to preparationof EA reports by environmental consultants, and assisting in identification of one or moreenvironmentally acceptable sites.

3. Reviewing EA reports to ensure compliance with the World Bank's OperationalDirective 4.01 on the behalf of the Borrower ( Government of Lebanon).

4. Submittal of the final EA report to the World Bank for concurrence prior to finalapproval.

5. Ensuring that the mitigation recommendations are incorporated into the detailedengineering design documents, into construction plans and into bidding documents.

6. Supervision and inspection of the construction contractor to ensure that mitigationmeasures are implemented, with frequent reports (minimum monthly) to CDR.

7. Advising the groups responsible for environmental monitoring on the appropriatemeans to monitor the effects of the compost plant during construction and operations.

8. Prepare monthly and quarterly achievement reports.

9. Collaborate with the SIU for solid waste management and the three experts inmunicipal management working at MMRA.

10. Assist in the on- the -job training for the new counterpart professional(s) who willpermanently fill the position at CDR.

11. Advise CDR on the review, management, staffing and budgets of environmentassessment reports for other infrastructure projects, as time permits.

LEBANESE REPUBLIC

Compost Plants at Zahle and SaidaSummary of Environmental Management Activities

IMPACT MITIGATION | MONITORING

Activities: Mitigation Project Responsible Mitigation Monitoring Responsible MonitoringOrigin of Impacts Actions Phase Implementation Cost Criteria Monitoring Cost

Group US$ Group USS

Dust along Paving selected Detailed design and Consulting Included in Maximum ambient Compost plant Included in 0 & Mroadways used by circulation and construction engineer and construction cost suspended particles operator costs for compostrefuse collection access roads construction 120 sg/m3 (24 hr plantvehicles contractor average)

Dust from Planning of the Detailed design and Consulting Included in Maximum ambient Compost plant Included in 0 & M | ununloading incoming circulation, construction engineer and construction suspended particles operator costs for compostrefuse to the plant fermentation, constniction cost 120 sg/m' (24 hr plant

maturation and contractor average)storage areas

Excellent quality Detailed design and Consulting Included in Maximum ambient Compost plant Included in 0 & Mpaving capable of construction engineer and construction cost suspended particles operator costs for compostwithstanding construction 120 ug/m3 (24 hr plant >frequent truck contractor average) q rttraffic

Water spray the Operations Compost plant Included in O&M Maximum ambient Compost plant Included in 0 & M | oDworking areas to operator cost suspended particles operator costs for compost l suppress dust as 120 pg/m3 (24 hr plantdeemed necessary average) O

_______ ______ _ _____ ______ ___ ___ ______ _____ _ ______ _______ ______ _______ _ ____ _______ _____

X

IMPACT MITrIGATION MONITORING

Activities: Mitigation Project Responsible Mitigation Monitoring Responsible MonitoringOrigin of Impacts Actions Phase Implementation Cost Criteria Monitoring Cost

Group USS Group US$

Litter along Provide enclosed Operations Waste collection Included in cost of Weekly visual Iviunicipality Included in municipalroadways used by refuse collection personnel waste inspection budgetrefuse collection vehicles or cloth or collection collectionvehicles traps to cover open contractor

vehicles

Odor: Locating the storage Detailed design and Consulting engineer Included in Maximum 3 days Compost plant Included in 0 & Mpropagation at pit in a depression construction and construction construction cost storage operator costs for composttrucks arrival with maximum 3 contractor plant

days capacity

Well organized Operations Waste collection Included in cost of Complaints of Municipality and Included in municipalwaste collection to personnel or waste collection unacceptable odors odor committee budget oNavoid waste collection contractor (see Attachment 4 lfermentation in to Annex 10)streets

Odor: Maintaining aerobic Operations Personnel in charge Included in O&M Complaints of Municipality and Included in municipalpropagation during conditions during of the fermentation costs for compost unacceptable odors odor commnittee budgetfermentation and fermentation by unit and compost plant (see Attachment 4maturation of controlling the air plant manager to Annex 10) >compost flow rate l0 rt

0 r

OtD

tC

rtrO0

tZ

Z

0m

IMPACT MITIGATION MONITORING

Activities: Mitigation Project Responsible Mitigation Monitoring Responsible MonitoringOrigin of Impacts Actions Phase Inplementation Cost Criteria Monitoring Group Cost

l__________ Group US$ USS

Odor: Obtaining a Operations Personnel in charge Included in O&M Complaints of Municipality and Included in municipalpropagation during sufficient velocity of the fermentation cost unacceptable odors odor committee budgetfermentation and for the rise in unit and compost (see Attachment 4maturation of temperature in order plant manager to Annex 10)compost (con'd) to attain

fermentation in afew days

Maintaining a 40 to Operations Personnel in charge Included in O&M Complaints of Municipality and Included in municipal50% humidity in the of the fermentation cost unacceptable odors odor committee budgetfermenting mass in unit (see Attachment 4order to destroy the and compost plant to Annex 10)spores and managerpathogenic germs

Excessive odor Installation of an Detailed design and Consulting engineer US$600,000 Complaints of Municipality and US$20,000-propagation odor control unit construction and construction unacceptable odors odor committee 50,000/annual(complaints of contractor (see Attachment 4neighboring to Annex 10)communities)

Noise pollution: Planning of the Operations Compost plant Included in O&M 40-60 dBA Compost plant Included in 0 & M P rTdue to truck traffic schedules and manager and waste cost operator costs for compost D P3

itineraries of the collection contractor plant |waste collection L ovehicles OHD

Ft

Imposition of a Operations Truck drivers and Included in O&M 40-60 dBA Compost plant Included in 0 & M l Li

speed limit for the compost plant cost operator costs for compost l trucks on site manager plant 0

I t:~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~2

.-.0)

IMRACT MMGA TION MONITORING

Activities: Mitigation Project Responsible Mitigation Monitoring Responsible MonitoringOrigin of hmpacts Actions Phase Implementation Cost Criteria Monitoring Cost

Group US$ Group US$

Noise pollution: Ensuring that Detailed design and Consulting engineer - Included in capital 40-60 dB at fence Municipality and Included in municipaldue tc the engines equipment bidding and CDR costs for line; workplace CDR budgetand equipment in specifications are in construction noise levels lessthe physical conformity with the than 85 dBAtreatment unit regulations relative

to the sound-proofing of siteengines

Regular Operations Compost plant Included in O&M 40-60 dB at fence Municipality Included in municipalmaintenance of the mnanager costs line; workplace budgetengines noise levels less

than 85 dBA

Specifying the Operations Compost plant Included in O&M Weekly site Municipality Included in municipal 5.0business hours from manager costs inspections budget so6 a.m. to 6 p.m.

Contamination of Impermeable floor Detailed design and Consulting engineer Cannot be addressed Establish Compost plant To be determined byground and/ or structure (107 construction and contractor until detailed design background quality operator the environmentalsurface water cm/sec), leacheate in groundwater monitoring

collection system. monitoring wells, implementation planstormwater and samplemanagement and groundwater at least >construction of monthly during P-rrperimeter operations and so rtgroundwater extending to ten 0 monitoring wells years after plant(minimum of 3) closure (for oti

parameters to rtmonitor, see o w

Attachment 5 to tAnnex 10) 0

I @~~~~~~~~~~~~~~~~~~~~~~~~


Activities: Mitigation Project Responsible Mitigation Monitoring Responsible MonitoringOrigin of Impacts Actions Phase Implementation Cost Criteria Monitoring Group Cost

Group US$ US$

Contamination of Provide a Detailed design and Consulting engineer Included in capital Weekly monitoring Compost plant Included in 0 & Mground and/or wastewater construction and construction costs for of effluent as operator costs for compostsurface water treatment unit of contractor construction indicated in plant; detailed costing(con'd) small capacity for Attachment 6 to to be provided in the

the evacuation and Annex 10; similar environmentaltreatment of the monitoring in monitoringwastewater and receiving water implementation planleacheate incoming body if pollutantfrom the loading is heavy inadministrative relation tobuildings receiving dispersion capacitypit, fermentationand maturationareas

Stormwater Detailed design, Consulting engineer Included in capital Weekly site visual CDR and Included inmanagement of the construction and and construction costs for inspections municipality constructionrunoff water operations contractor construction supervision andthrough proper municipal budgetplanning of adrainage system inorder to avoid allcontact with thewaste and thecompost in the o rrfermentation and

. maturation units

XtI-.CD

rt0

I-

C

| IMPACT MITIGATION MONITORING

Activitits: Mitigation Project Responsible Mitigation Monitoring Responsible MonitoringOrigin of Impacts Actions Phase Implementation Cost Criteria Monitoring Group Cost

Group US$ USS

Contamination of Based on crops Operations Compost plant To be determined See guidelines in Operator of compost To be determined, butsoil and potential planned to receive operator Attachment 7 in plant included in 0 & Mbiological uptake of land application of Annex 10; baseline costs of composttoxic chemicals compost and sampling of plant; detailed costing(e.g. heavy metals) chemical agricultural soils is to be provided in thefrom application of concentrations they also required; environmentalcompost can tolerate compost sampling monitoring

should be frequent implementation plan(at least weekly) at

Determine which the beginning ofcontaminants limit operations: ifapplication rates compost quality

does not meet lThen, based on guidelines, disposalconcentrations of in landfill or use asthese constituents in a daily cover shouldcompost, determine be carried outthe totalconcentration whichcan be appliedbefore phytotoxiclevels are reached

From this, l >determine amount l rQtof compost which 0 a can be applied

FtI -

Xw

0


Activities: Mitigation Project Responsible Mitigation Monitoring Responsible MonitoringOriginz of Impacts Actions Phase Implementation cost Criteria Monitoring Group Cost

___________ ____________ ~~~~~~~~~Group US$ US$

Fauna and flora Adequate layout of Detailed design and Consulting Engineer Included in capital Review of design CDR Included in designthe different units construction and contractor costs for drawings supervisionand buildings of the constructionplant in order tointegrate the plantwithin itssurrounding

Maximum Detailed design and Consulting Engineer Included in capital Review of design CDR Included in designpreservation of construction and Contractor costs for drawings supervisiongreen spaces construction

Maintenance of Operations Maintenance Included in O&M Weekly site visual Municipality Included in municipalgreen spaces personnel inspections annual budget |

Periodic control in Operations Maintenance Included in O&M Weekly site visual Municipality Included in municipalorder to prevent rat personnel inspections annual budgetproliferation

Uncontrolled access Provide for proper Detailed design and Consulting engineer Included in capital Weekly site visual CDR Included into the site; fencing (at a height construction and construction costs for inspections constructiondisposition of of 3m) around the contractor construction supervision >refuse and whole site P3 nattraction of Oq ranimals .

vhrt

0

C

E IMPACT MMGATION MONrTORING

Activiies: Mitigation Project Responsible Mitigation Monitoring Responsible MonitoringOrigin Of Impocts Actions Phase Implementation Cost Criteria Monitoring Cost

Group USS Group USS

Utilization of the Ensure a good CDR and compost Included in 0 h M Sec guidelines in Compost plant To be determined incompost quality compost by: plant manager to costs for compost Attachment 7 to operator, with the environmental

ensure coordination plant Annex 10; verification by the monitoringbetween the various preparation of an Municipality and/or implementation planofficial and non- operations manual Ministry of to be submitted byofficial by plant operator Agriculture and/or compost plantorganizations compost Ministry of operatorconcemed, such as Environmentthe Ministries ofAgriculture, andPublic Health, theGreen Plan, and thefarmers; samplingg |to determine t compostcomposition andconcentrations ofglass, metals andheavy metals

Supervision of the Operations Compost plant Included in O&M Weekly site Municipality Included in municipalproper functioning manager inspections budgetof the plant >

Or-tSupervision of the Operations Compost plant Included in O&M Weekly site Municipality Included in municipal |D rmanual and manager inspections budget |oautomatic sorting ofmaterials

I-

0


Activities: Mitigation Project Responsible Mitigation Monitoring Responsible MonitoringOrigin of Impacts Actions Phase Implementation Cost Criteria Monitoring Group Cost

Group US$ US$

Lack of resident Survey residents for Operations Coordination To be determined; Inability to meet Municipality, To be determinedcooperation with social and cultural between the but base cost compost quality MMRA and thewaste collection behavior; informing compost plant included in annual guidelines in Ministry ofand treatment and educating the manager, budget of Attachment 7 to Environmentsystems (such as residents in regard municipality, municipality Annex 10 due toseparation at to solid waste MMRA, and the contamination ofsource) problem; and media waste collected due

necessary to industrial wasteslegislation; and or other separationeducational problemsprograms,conferences, etc. L

Lack of separation Visual inspection by Operations Compost plant Included in 0 & M Inability to meet Compost plant Included in 0 & Mof infectious collection contractor operator with costs for compost compost quality operator with costs for composthospital waste from and by compost assistance from plant guidelines in assistance of plant; detailed costingdomestic wastes in plant personnel. collection Attachment 7 to Ministry of Health to be provided in thehospitals Refusal of trucks contractor, Annex 10. environmental

containing infectious municipality, and Additional monitoringbio-medical wastes Ministry of Health monitoring criteria implementation plan

to be specified byMinistry of Health X

as necessary f

Qrt

0

CD

IMPACT MMGATION MONITORING

Activities: Mitigation Project Rcsponsible Mitigation Monitoring Responsible MonitoringOrigin of Impacts Actions Phase Implementation Cost Criteria Monitoring Group Cost

Group USS USS

Lack of separation Visual inspection by Operations Compost plant Included in e & M Inability to meet Com.st plant Included in 0 & Mof hazardous and collection contractor operator with costs for compost compost quality operator with costs for compostindustrial waste and by compost assistance from plant guidelines in assistance of plant: detailed costingfrom domestic plant personnel. collection Attachment 7 to Ministry of to be provided in thewastes Refusal of trucks contractor, Annex 10 Environment environmental

containing chemical, municipality, and Additional monitoringhazardous, toxic or Miristry of monitoring criteria implementation planindustrial wastc Environment to be specified by

Ministry ofEnvirounment asnecessary

Lack of public Storrmwater Detailed design and Consulting engineer Included in capital Review design CDR Included in designscrvices management construction and construction costs for drawings and construction

contractor construction supervision

Installing a heating Operations Consulting engineer Included in capital keview design CDR Included in designunit and a water and construction costs for drawings and constructionheatcr contractor construction supervision

Installing new Detailed design and Consulting engineer Included in capital Review design CDR Included in designelectric lines and construction and construction costs for drawings and construction >electrical generator contractor construction supervision rPof sufficient n 0capacity

Installing telephone Detailed design and Consulting engineer Included in capital Review design CDR Included in design Dtlines construction and constructioi costs for drawings and construction L.)

contractor construction supervision 0 o

x

0

- 105 -


LEBANESE REPUBLIC


ODOR MONITORING APPROACH FOR MUNICIPAL SOLID WASTECOMPOST PLANTS

A. Background to Odor Regulations and Standards

1. The goal of setting uniform legal regulations and standards for odors is to define a levelof odor that causes intolerable annoyance to the general population, to identify the source of theannoying odor and to take action to reduce the odor to an acceptable or unobjectionable level.As many odors are difficult to detect using modem analytical chemical techniques, the humannose still remains the most sensitive practical measuring instrument for odors.

2. A simple description of modem odor measurement involves: (i) collection of odorous airin tedlar or tevlar plastic bags; (ii) metering precise diluted amounts of the collected odorous airthrough an olfactometer to human noses belonging to a group of people with nornal sensitivitiesto odors (referred to as an odor panel); and (iii) determining the odor level after dilution ofsamples at which 50 percent of the panel can correctly detect the odorous sample so as to obtainan objective quantitative measure (referred to as a dilution factor). The ideal goal for a compostfacility would be to have an undetectable odor level at the property line as measured by the odorpanel or alternatively a buffer zone specifying minimum distances to the nearest occupiedresidences.

3. As this method of measuring odors requires: (i) a high degree of quality control (forexample less than 4 hours storage of odorous samples, availability of 5-7 qualified odor panelistson the day of odor testing, high purity non-odorous bottled air, odor free room, precise dilutionmetering, trained personnel, etc.,); (ii) does not take into account varying meteorologicalconditions; and (iii) is not directly related the degree of annoyance an odor will have in acommunity due to wide individual tolerance levels, neither the United States EPA(Environmental Protection Agency) nor the European Union have adopted uniform odorstandards. The approach to controlling odors varies in each state in the United States and ineach European country. Still the basis for regulatory involvement in all jurisdictions arecomplaints by the general public.

- 106 -


B. Odor Monitoring Approach for World Bank Financed Compost Plants In Lebanon

4. The purpose of the odor monitoring program is to establish if there is a recognizable odorproblem in the community, as complaints from a limited number of people, or numerouscomplaints from the same people may not represent the feelings of the community as a whole.As chronic complainers may be justified in their perception of odors as objectionable, the goalis how:

(i) to establish that there is genuine odor problem in the community; and(ii) to prove that spontaneous complainers are not just trouble makers.

5. The steps in the odor monitoring approach are as follows:

(i) all odor complaints reported to the compost plant or government officials, mustbe imnmediately forwarded to the municipal engineer;

(ii) The municipal engineer or a trained investigator should immediately contact thecomplainant to ascertain the current situation, based on the following pertinentinformation:

(a) is the problem currently occurring;

(b) a description of the odor which includes the nature, intensity and duration(for intensity description see table 1);

(c) the suspected source; and

(d) any physical effects incurred by the complainant.

(iii) if a complainant identifies a suspected source, the investigator should quickly visitthe source and record an arrival time;

(iv) the investigator proceeds to conduct a 360 degree odor survey of the suspectedsource (for example at a compost plant from the receiving pit, the fermentationarea. the maturation area, or the odor control unit); when an odor is detected theinvestigator records the following information: (a) the characteristics of the odorand weather conditions including wind speed and direction, (b) any physicaleffects on the investigator should be noted, and (c) the intensity of the odorshould be evaluated (as per table 1); and

- 107 -


(v) the manager of the compost plant is requested by the municipal engineer toundertake corrective action to resolve the source of the odor.

6. Table, 1 is an aid to used by the inspector in combination with the duration of an odorto decide if there is interference with a complainant's enjoyment of life and property.

7. The compost plant should be equipped with a simple meteorological station to provideinformation, preferably on a continuous basis, on wind speeds and directions, daily temperaturesand precipitation. This data is essential to properly resolve any odor complaints.

8. In addition the municipal engineer should form an odor committee composed ofapproximately 5 citizens from within the caza and in the area close to the compost plant, whichwould be active when there are repeated complaints from the same people. Utider suchcircumstances the municipal engineer would call upon the odor comnittee for assistance injointly investigating odor complaints, as described in item 5.

9. If the above approach to odor monitoring is hot successful in identifying if a communityodor problem exists, then an international odor evaluation laboratory should be contracted todefine the odor situation, to locate its sources and to recommend measures to reduce odors toan acceptable level. An odor evaluation of this scope is estimated to cost in the order of US$100,000, which would be managed by the municipality on a cost reimbursable basis paid for bythe compost plant operator.

- 108 -


Table 1: Odor Intensity Scale

SCALE/DESCRIPTION ODOR INTENSITY DESCRIPTION

0 Odor not detectable

1 - Very Light Odorant present in the air which activatesthe sense of smell but the characteristicsmay not be distinguishable

2 - Light Odorant present in the air which activatesthe sense of smell and is distinguishableand definite but not necessarilyobjectionable in short durations.(Recognition Threshold)

3 - Moderate Odorant present in the air which easilyactivates the sense of smell, is verydistinct and clearly distinguishable and/or irritating.

4 - Strong Odorant present in the air which wouldbe objectionable and cause a person toattempt to avoid it completely, couldindicate a tendency to possibly producephysiological effects during prolongedexposure.

5 - Very Strong Odorant present which is so strong it isoverpowering and intolerable for anylength of time and could tend to easilyproduce some physiological effects.

Adapted from "New Jersey's Approach to Odor Problems" in Recent Developments and CurrentPractices in Odor Regulations, Controls and Technology, A & WMA Transaction Series, ISSN1040-8177; No. 18, Pittsburgh, PA. 1991. p 25-35.

- 109 -


LEBANESE REPUBLIC


GUIDELINES FOR GROUNDWATER MONITORING CRITERIA(Based on potable water quality standards as in decree passed onNovember 2, 1994 by the Ministry of Environment of Lebanon)

General ParametersColor 15mg/i; scale Pt/CoTurbidity 2 Jackson uritsOdor 0 (at 12°C) Dilution factor:2

0 (at 25°C) Dilution factor:3Taste 0 (at 12°C) Dilution factor:2

O (at 250C) Dilution factor:3Temperature 250CpH , 6.5 - 9Chlorides (cl) 200 mg/l

Sulphates (SO4) 250 mg/lSodium (Na) 150 mg/iPotassium (K) 12 mg/lAlurminum total (Al) 0.2 mg/iDry residues 1500 mg/l after drying at 1800CNitrates (NO3) 50 mg/iNitrates (NO2) 0.1 mg/lAmmonium (NH4) 0.5 mg/lNitrogen Kjeldahl (N of N02

and of N03 excluded) I mg/lOxygenation (or KM 04 5 mg/l

in acidic solution)Sulphated Hydrogen not detectable (organoleptically)Dissolved or

emulsified hydrocarbons 0.01 mg/lPhenols (phenol index) 0.01 mg/lSurface agent (reaction to

blue methylene) 0.1 mg/il (lauryle-sulfate)

- i10 -


Metals

Iron (Fe) 0.2 mg/lManaganese (Mn) 0.05 mg/lCopper (Cu) 1.0 mg/lZinc (Zn) 5.0 mg/lPhosphorous (P 2 05 5.0 mg/lFluoride (F) 0.7 to 1.5 mg/lSilver (Ag) 0.01 mg/lArsenic (As) 50.0 mg/lCadmium (Cd) 50.0 mg/lCyanides (Cn) 50.0 mg/IChrome (Cr) 50.0 mg/lMercury (HgJ 1.0 mg/lNickel (Ni) 50.0 mg/lLead (Pb) 50.0 mg/lAntimony (Sb) 10.0 mg/lSelenium (Se) 10.0 mg/l

Polycyclic Aromatic Hydrocarbons (PAH)

- Fluoranthene 0.2 pg/l (Total of 6 compounds)- Benzo (3,4) fluoranthene- Benzo (11,12) fluoranthene- Benzo (3,4) pyrene- Benzo (1,12) perylene- Indeno (1,2,3,cd) pyrene

Benzo (3,4) pyrene 0.01 jtg/l

Microbiological Parameters

Coliforms total per 100 ml 0Coliforms thermotolerant per 100 ml 0Fecal streptococci per 100 ml 0Bacteria sulfur reducing per 20 ml ISalmonella per 5 liters 0Staphylcocci phathogenes per 100 ml 0Fecal bacteriophages per 50 ml 0Enterovirus per 10 liters 0

- 111 -


Pesticides and Other Contaminants

Insecticides, herbicides,fungicides, PCBs, PCTs: 0.1 mg/l for each compound or

0.5 mg/l for total of all compounds measured.Aldrine 0.03 mg/lDielddrine 0.03 mg/lHexachlorabenzene 0.01 mg/l

- 112 -


LEBANESE REPUBLIC


GUIDELINES FOR WASTEWATER EFFLUENT MONITORING CRITERIA(Based on wastewater quality standards as in decree passed onNov,mber 2, 1994 by the Ministry of Environment of Lebanon)

Temperature 300CpH 6.5 - 8.5COD (chemical oxygen demand) 150 mg/lBOD (biological oxygen demand) 50 mg/lSuspended solids 30 mg/lDetergents anionic 3 mg/l

Hydrocarbons 5.0 mg/lPhenols 0.5 mg/lCyanides 0.1 mg/lSulfates 250.0 mg/lNitrates 45.0 mg/lSulfides 1.0 mg/lFluorides 15.0 mg/lNitrites 10.0 mg/i

Heavy metals total: 15.0 mg/l- chrome 0.1 mg/l- cadmium 0.2 mg/l- lead 1.0 mg/l- mercury 0.05 mg/l

Arsenic 0.5 mg/lZinc 15.0 mg/lSilver 0.1 mg/lTin 0.1 mg/lAluminum, 10.0 mg/l

- 113 -


LEBANESE REPUBLIC


GUIDELINES FOR GENERAL USE COMPOST QUALITY FOR THEPROTECTION OF PUBLIC HEALTH, SAFETY AND THE ENVIRONMENT7

Parameter Limit for General Compostonly (all limits apply to product leaving

Parameter compost plant site)

Stability: mature compost based on arespirometry limit of 02 consumed'

Soluble salts: electrical conductivity 0.5 - 4.5 mmhos/cm'(maximum)

Pathogens: PFRP2

(either) fecal coliform < 1000 MPN/g3(or) salmonella <3 MPN/4g4

pH: (range) 5.5 - 8.5

Regulated chemical pollutant concentrations (per USEPA "Alternate Pollutant Limit" (APL)at 5.5 - 8.5 pH:

Arsenic (As) 41 - 54 mg/kg dry wt.Cadmium (Cd) 21 - 39 mg/kg dry wt.Chromium (Cr) 1200 mg/kg dry wt.Copper (Cu) 1500 mg/kg dry wt.Lead (Pb) 300 mg/kg dry wt.Mercury (Hg) 17 mg/kg dry wt.Molybdenum (Mo) 18 - 54 mg/kg dry wt.Nickel (Ni) 420 mg/kg dry wt.Selenium (Se) 28 - 36 mg/kg dry wt.Zinc (Zn) 2800 mg/kg dry wt.

Foreign matter content: 2% - 10% by dry weight

Glass shards, metal fragments andman-made inerts (maximum) >4 mm: Non-injurious

- 114 -


Film plastic >4 mm: so as not to pose an ingestion threatto small animals

Sharps (Steel sewing needles,straight pins, stainless steelhypodermic needles): removal by processing5

Particle size of organic matter content: fine, medium or coarse6

Notes:

Note 1: VS (Volatile Solids) assumes man-made inert content does not exceed the productmarketing standard of 1.5% dry weight >4 mm, < 13 mm size.

Note: 2: PFRP (process to further reduce pathogens) is accepted by USEPA for windrowcomposting if aerobic conditions are maintained and there is a minimum of 5turnings over 15 consecutive days maintaining a temperature not less than 55°C.

Note 3: Standard Methods 9221E: Fecal Coliform Procedure; or 9222 D: FecalColiform Membrane Filter Procedure

Note 4: Standard Methods 9260 D: Quantitative Salmonella Procedures

Note 5: This processing standard can be achieved by processing feedstock through waterflotation; by passing product by magnetic separation devices to remove ferrousitems; by sifting through an air flotation fluidized bed separator (destoner)equipped with a punched 2.5 + nun round deck screen; or by passing productthrough an eddy current device.

Note 6: Fine c 10 mm and an organic matter content of 2 25%medium < 15 mm and an organic matter content of 2 30%course c 25 mrn and an organic matter content of > 35%

Note 7: These guidelines are based on "Organic Waste Composting, Model StateRegulations" published by the Composting Council, Alexandria, Virginia and onFlorida State regulation (1989) "Criteria for the Production and Use of Compostmade from Solid Waste."

- 115 -


LEBANESE REPUBLIC


SUMMARY OF GENERAL SITE SELECTION CRITERIA FOR CONTROLLEDSANITARY LANDFILLS

The criteria below present in summary manner a 20 page text that describes in detail thetechnical, environmental and economic factors to be considered for selection of an appropriatelandfill site.

1. Distances of landfill site to collection areas within each caza.2. Existing access roads and minimum distance to an access road.3. Surface land area available at landfill sites to deternine site capacity and years of

service.4. Slope and stability of soils and surficial geology.5. Permeability of deeper soils and geological structures.6. Use of surface waters and selection of discharge point for leacheate collected at landfill

site.7. Ilydrogeological conditions at the site.8. Climatic conditions.9. Availability of daily cover soils and granular materials.10. Feasibility of perimeter drainage ditches.11. Alignment and location of public utilities (electric lines, water distribution lines, sewers,

etc.)12. Sensitive wildlife and flora in immediate vicinity.13. Distance to closest homes, villages, and other habitation.14. Distance to beaches.15. Distance to forests and wooded areas.16. Compatibility (integration into) the landscape.17. Neighboring tourist facilities.18. Conformity to existing land use zoning designations.19. Avoidance of known cultural and historic sites.20. Socio-economic conditions and public acceptance of neighboring communities.21. Ownership of the site (government owned or privately owned).22. Land costs.23. Capital investment costs; and operation and maintenance costs for the future landfill.

- 116 -

ANNEX 11Page 1 of 3

LEBANESE REPUBLIC


SECTOR DEVELOPMENT POLICY STATEMENT

Background

1. Refuse collection and disposal in Lebanon has always been the responsibility of themunicipalities, which operate under the tutelage of the newly-created Ministry of Municipal andRural Affairs (MMRA). Law No. 118 of 1977, the Municipal Law, gives municipalities thepower to organize solid waste collection and disposal. Various government institutions,including the Ministries of Environment, Interior, Public Health and Social Affairs, haveresponsibility for functions related to Solid Waste Management (SWM), such as environmentalprotection, transport (traffic), public health and labor.

2. Several problems have been affecting the provision of adequate SWM services. Inparticular, solid waste collection services have been provided by financially weak municipalinstitutions with a limited resource base, largely dependent on central government budgetarytransfers for their revenues. Also, Lebanon has few sites readily available for appropriatedisposal of solid waste, particularly sanitary landfills. The topography of the country, dividedbetween steep mountains, dense urban development and scarce agricultural soil, leaves very littlechoice of land available for waste disposal within close reach of cities. It has been found easierto dump the refuse at the nearest vacant stretch of the sea coast. The results are all too plain -pollution of the beaches, environmental degradation and possible breakout of epidemics.

Government Action

3. The Lebanese Government has embarked on a solid waste management program with thefollowing objectives: (i) providing SWM services to all the urban communities of Lebanon inan environmentally sound manner; (ii) preventing further environmental degradation resultingfrom uncontrolled dumping of wastes, and initiating a program to address the environmentalproblems associated with existing dump sites; (iii) replacing damaged and antiquated collectionequipment and extending waste collection services to new communities; (iv) repairing andrehabilitating existing disposal facilities; (v) establishing and operating suitable sanitary landfillsin all Cazas; (vi) utilizing the private sector in rendering waste collection and disposal services;and (vii) ensuring sustainability of services through cost recovery.

- 117 -

ANNEX 11Page 2 of 3

Policy Statement

4. It is the stated policy of the Government to improve solid waste collection and disposalservices in Lebanon and prevent further environmental degradation. To implement this policy,it is the Government's intention to attain gradually full cost recovery for solid waste services.Firstly, wherever the population mass warrants it, consideration will be given to the constructionof additional compost plants and/or sanitary landfills. The method of composting will bemodified in several ways: (i) compost plants will be provided with pre-sorting facilities forpotential recycling; (ii) the quality of compost will be improved and a powerful campaign willbe launched with the farmers to market the compost; and (iii) a special effort will be made tocreate small industries based on the utilization of recycled materials. Where it is not possibleto find adequate land for sanitary landfills and composting does not prove to be a viable option,consideration would be given to the construction of incinerators with upstream sorting of thewastes. Secondly, to supplement municipal revenues, which have recently been increasedthrough a rise in rental values, a gradual system of cost recovery will be initiated. The fee willinitially cover about 25 % of the cost of service. Thirdly, based on the experience gained underthe ongoing projects in utilizing the private sector in SWM operations, the role of the privatesector will be expanded to cover comprehensive systems. Existing municipal workers would beemployed in such activities as street cleaning, development of parks, etc. Fourthly, a specialeffort would be made to introduce an economy of scale into the sector through the grouping ofseveral municipalities (or even Cazas) into associations that would pool their resources togetherin providing SWM services. Successful examples of these already exist in the country.

Long-Term Strategy

5. In order to implement its policy, the Government has undertaken a study to help provideit with the tools necessary to realize its long-term objectives. The objectives of the study areto carry out an overview of the SWM sector and submit recommendations for the achievementof full cost recovery. Its findings and recommendations will help the Government takeappropriate decisions for the reorganization of the sector in the future. The study looks into allaspects of the sector and, inter alia, covers the following topics:

- the method of solid waste collection and the possibility of increasing efficiency;

- the methods of disposal - landfill, composting, incineration - and the most suitablemethod for each area or region;

- the method of collection of municipal fees and the computerization of accounts;

- the possibilities of improving the quality and marketability of compost, manualpre-sorting of the waste, and establishment of industries based on recycled waste;

- 118 -

ANNEX 11Page 3 of 3

the utilization of the capabilities of the private sector through operation andmaintenance contracts of appropriate size;

the restructuring of the sector in order to benefit from the economies of scale; and

the achievement of full cost recovery in the sector.

6. The study is nearing completion and recommendations are being reviewed.

- 119 -

ANNEX 12

LEBANESE REPUBLIC


Staff Working Papers

1. CDR: Legislative decree No.5 for creation of the Council for Development andReconstruction

2. MMRA: Operational function (Arabic version of Annex 1 - SAR)

3. Municipalities of Zahle: Budgets (in Arabic)

4. Municipalities of Jbeil: Budgets (in Arabic)

5. Municipalities of Tripoli: Technical assistance needs (in French)

6. Les Ordures Leur Ramassage (Tripoli)

7. La Fermeture Et L'Amenagement De La Decharge Actuelle (Tripoli)

8. Amenagement D'Une Decharge Controlee Sur Un Terrain Gagne Sur La Mer(Tripoli)

9. L'Incineration Etude Pour La Communaute D'Al Fayhaa (Tripoli)

10. Le Marche Potentiel Du Compost (North Lebanon)

11. Rapport Intermediaire Et Evalution Du Choix Du Systeme D'Elimination D'OrduresMenageres De La Communaute D'Al Fayaah (Tripoli)

12. Sanitary Landfills, Final Report, November 1994, CREED/LIBANCONSULT

13. Land Expropriation Laws (in Arabic)

35'30' 36ON0' 3630

LEBANON -iSOLID WASTE/ ENVIRONMENTAL

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'<, Sii /,, - \ PROPOSED HOSPITAL WASTE INCINERATOR

Snid.e J1 PROPOSED COMPOST PLANTS

.ZZIII / X R Duir El AhmurLANDFILL TO BE CONSTRUCTED UNDERD- El Ah- ~ -PROPOSED PROJECTI

33 30'7 IrohrurI I, A* EXISTING COMPOST PLANTS

)J / ' 7- LANDFILL BEING CONSTRUCTED UNDER ERRP

-7/ * / oiD NATIONAL CAPITAL

. GOVERNORATE (MOHAPAZATI CAPITALS

c SELECTED CITIES

' . .1 A NobotlyehG E 0

M arjoyn O GREATER BEIRUT

* R1l.._ BOUNDARIES OF CAZAS

' , .> ; J BOUNDARIES OF GOVERNORATES

TyR'.0 I, ' INTERNATIONAL BOUNDARiES

.) ' ' _ I / ' < ' ' ' WAT E R COUR SE S

C 5 5 IT IS CS 25 K1LOMREER5 Tbe bEo.-d,,n, -icl i jor,,,ci) ' f; t / iIroi-oion ih.c m/p ds .iil ..iipi,y s ~i.rIic,i,,t.,I1IicvoiR.l- -h, ,o,iih

S0 5 0 MILES o.,-;i d .-noiirIic cl iiI.i iuio yoiid.1 i i _

z -

F-*--.-_,_,- -N _ _! w_ ) --.. r 53J0 3600' Cc 10o

IMAGING

Report No: 13860 LEType: SAR

Documents

World Bank Documentdocuments.worldbank.org/curated/en/484871468772183406/...This report is based on the findings of an appraisal mission which visited Lebanon from November 28 to December